If you were to buy one peach tree and one apple tree from the Stark Bros. fruit trees and landscaping catalog in two separate orders, you would pay a total of $109.99. However, if you order the peach and apple tree in the same order, you pay only $89.99. When selling the two trees together for a reduced price, what pricing strategy does Stark Bros. employ?

Question

Quizplus · Accepted Answer

Stark Bros. is using bundle pricing by offering a discount when the two trees are purchased together. This encourages customers to buy both products at once, creating a bundle deal.

If You Were to Buy One Peach Tree and One