Gourmet Pets feels its target market is more concerned with perceived quality than actual product cost.They also feel that the newness of this concept offers an opportunity to make high profits since they are the first firm to enter this market,so they face no direct competition.Their decision to charge a high price is consistent with the market price strategy.

Question

Quizplus · Accepted Answer

The decision to charge a high price is consistent with a skimming pricing strategy, not a market price strategy. Skimming involves setting high prices initially to maximize profits from early adopters before competitors enter the market.

Gourmet Pets Feels Its Target Market Is More Concerned with Perceived