If Safeway Foods advertises 2-liter bottles of Pepsi for 89 cents to generate store traffic that will purchase other items at regular prices, the grocer is using
A)reference pricing.
B)a price leader.
C)special-event pricing.
D)comparison discounting.
E)random pricing.

Question

Quizplus · Accepted Answer

Safeway Foods is using a price leader strategy by advertising a popular product at a low price to attract customers to their store with the hope that they will also buy other items at regular prices. This is a common tactic used by retailers to drive traffic and increase sales.

If Safeway Foods Advertises 2-Liter Bottles of Pepsi for 89