Scenario 20.1 Use the following to answer the questions.Suppose that Ray-Ban is considering a new line of sunglasses that would be sold in major department stores. The new line would be positioned as a more distinctive brand than the typical glasses sold through department stores, and would be priced higher than other brands in the store, but a lower price line than the current Ray-Ban lines that are sold through more selective stores. In determining the price for this sunglass line, Ray-Ban wants to gather information about all brands sold in department stores and about customers' perceptions of those brands.
-Refer to Scenario 20.1. Ray-Ban's plan of gathering information about the other brands sold in department stores, including their prices, would most likely be used in a ____ basis for pricing.
A)Cost
B)Competition
C)Demand
D)Customer
E)Market

Question

Quizplus · Accepted Answer

Ray-Ban's plan to gather information about other brands sold in department stores suggests a competitive basis for pricing. They want to position their new line as a more distinctive but still pricing it competitively within the department store market.