Julia's is an upscale women's clothing store.Prices are based on customers' beliefs about the value of the clothing.The store focuses on a limited target market and provides excellent customer service.Julia's is using a _______ pricing strategy.
A) customer-oriented
B) target profit
C) target return
D) status quo
E) maximizing profits

Question

Quizplus · Accepted Answer

Julia's is using a customer-oriented pricing strategy because they base their prices on customers' beliefs about the value of the clothing and focus on providing excellent customer service. This strategy aims to offer customers a unique and personalized shopping experience to build loyalty and trust, which can lead to higher sales in the long run. Target profit and target return pricing strategies involve setting prices based on a specific profit or return on investment goal, respectively. The status quo pricing strategy involves maintaining the current price levels without seeking to maximize profits or customer satisfaction. The maximizing profits pricing strategy involves setting the highest possible price to maximize profits, which may not align with Julia's focus on excellent customer service and a limited target market.

Julia's Is an Upscale Women's Clothing Store