When Nintendo sets a relatively low price on its game units to stimulate more demand for its game cartridges, it is using
A) complementary product pricing.
B) product-bundle pricing.
C) price lining.
D) bait pricing.
E) cost plus pricing.

Question

Quizplus · Accepted Answer

Complementary product pricing involves setting a price for one product low to stimulate demand for its complementary products. In this case, Nintendo sets a low price for its game units (consoles) to increase demand for its game cartridges, which are complementary products.

When Nintendo Sets a Relatively Low Price on Its Game