When the Mosquito Magnet was introduced,it was designed to rid the immediate area of mosquitoes and other annoying insects.The technology for the Mosquito Magnet took years to develop.It is a patented grill-like apparatus that emits carbon dioxide to attract bugs to a fan,which draws them into the device where they die.What type of pricing policy would you have recommended the company use to introduce this product to the market?
A) price skimming
B) leader pricing
C) penetration pricing
D) status quo pricing

Question

Quizplus · Accepted Answer

Price skimming is recommended for the Mosquito Magnet because it is a new, innovative product with unique technology, allowing the company to initially set a higher price to maximize profits from early adopters before possibly lowering prices later as competition increases or to capture more market segments.

When the Mosquito Magnet Was Introduced,it Was Designed to Rid