If Dell uses _____ pricing for its newest version of laptops, it is probably most interested in obtaining market share; and it is assuming
A)premium pricing; that no other competitors are likely to enter the market soon.
B)price-skimming; that no other competitors are likely to enter the market soon.
C)premium pricing; it needs to recoup R & D costs as soon as possible.
D)penetration pricing; that no other competitors are likely to enter the market soon.
E)penetration pricing; that other competitors could enter the market easily.

Question

Quizplus · Accepted Answer

Penetration pricing is a strategy used to enter a market with a low initial price to attract a large number of customers quickly, which is effective in markets where competitors can easily enter. This approach is aimed at quickly gaining market share.

If Dell Uses _____ Pricing for Its Newest Version of Laptops