two most common pricing alternatives for products in the introduction stage of the product life cycle are __________ and __________.

Question

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Skimming pricing involves setting a high price for a new product to target early adopters who are willing to pay a premium price. This strategy is effective when there are few or no competitors in the market. Penetration pricing, on the other hand, involves setting a low price for a new product to quickly gain market share and attract price-sensitive consumers. This strategy is effective when there is intense competition in the market. Therefore, the two most common pricing alternatives for products in the introduction stage of the product life cycle are skimming pricing and penetration pricing.

Two Most Common Pricing Alternatives for Products in the Introduction