Jerry is developing a pricing strategy for an established line of home care products.His premium products are priced over $50,his best products are in the $2540 range,and his good products are $1015 range.Jerry is using a ________ strategy.
A)penetration pricing
B)leader pricing
C)price lining
D)geographic pricing

Question

Quizplus · Accepted Answer

Jerry is using price lining, which involves setting prices for a line of products at specific price points. In this case, Jerry has three price points for his different product tiers: over $50, $25-$40, and $10-$15. This strategy is useful for targeting different segments of customers with different levels of willingness to pay.

Jerry Is Developing a Pricing Strategy for an Established Line