For an exporter to use the _____ approach,the product has to be unique,and some segments of the market must be willing to pay the high price.
A) extinction pricing
B) skimming
C) penetration pricing
D) market pricing

Question

Quizplus · Accepted Answer

Skimming pricing is used when the product is unique and some segments of the market are willing to pay a high price for it. It involves setting a high price initially and then gradually reducing it over time as competition enters the market. This strategy is often used for luxury goods, niche products or cutting-edge technologies. Extinction pricing refers to setting a price so high that it effectively eliminates demand for the product, while penetration pricing involves setting a low price to attract customers and gain market share. Market pricing refers to setting a price based on competition and market conditions.

For an Exporter to Use the _____ Approach,the Product Has