Blue Corp., a laptop manufacturer, introduces a new model in the market.Since the target audience for this product is students, Blue Corp.launches the model at a low price.The main objective of the company is to build sales and profits quickly.This is an example of:
A)everyday low pricing.
B)external reference price.
C)high/low pricing.
D)market penetration pricing.
E)internal reference price.

Question

Quizplus · Accepted Answer

This is an example of market penetration pricing, which involves setting a low price for a new product to quickly gain market share and build sales and profits. The target audience for the product being students and the goal of building sales and profits quickly align with this pricing strategy.

Blue Corp, a Laptop Manufacturer, Introduces a New Model in the the Market.Since