Aldi's and Dollar General stores have been expanding their footprint across the United States, opening new locations and competing against traditional discount and grocery store chains, such as Walmart, Target, Kmart, Kroger, Jewel Osco, and Schnucks. Both Aldi's and Dollar General hope to capture a large proportion of the dollars consumers spend on grocery and general merchandise items and have responded to consumer desires for value and convenience of a smaller store. What type of pricing objective are these stores utilizing?
A)Market share
B)Return on investment
C)Profit
D)Survival

Question

Quizplus · Accepted Answer

Aldi's and Dollar General are utilizing a market share pricing objective, as they are aiming to capture a large proportion of the dollars consumers spend on grocery and general merchandise items. They are not necessarily focused on maximizing profit or achieving a certain return on investment, but rather on gaining a greater share of the market. Survival is not mentioned as a pricing objective in this scenario.

Aldi's and Dollar General Stores Have Been Expanding Their Footprint