The Canadian Girl catalogue began as a concept to introduce girls who lived in the past to today's girls.Each historically accurate doll is carefully crafted and dressed and has books to describe her life.For example,Kristen is an 1854 pioneer girl who is growing up in Manitoba.Her story begins with her long sea voyage from Iceland.The basic doll dressed in a calico dress and striped apron and the hardcover story of how she got to Manitoba costs $90.Six more hardback books of Kristen's life are available for $80.Kristen's nightgown costs $20,and a matching one for the doll owner is an additional $40.Buy both together and the price is only $50.A hand-painted wooden bed and trunk for Kristen are available for $220.Shipping costs vary with the price of the merchandise ordered and are not connected to weight or distance.
-Refer to Canadian Girl Catalogue.When a customer buys the matching nightgown set for the doll and her owner,Canadian Girl priced the items using which of the following?

Question

Quizplus · Accepted Answer

The pricing strategy used for the matching nightgown set for the doll and her owner is price bundling, which means offering two or more complementary products as a package deal at a lower price than if they were purchased separately. The price of the set is lower than buying the items individually, which encourages customers to purchase both items together.

The Canadian Girl Catalogue Began as a Concept to Introduce