A ________ pricing strategy often is used when a company introduces a new product into a market with little or no competition.
A)price wars
B)competitive pricing
C)skimming
D)price floor

Question

Quizplus · Accepted Answer

Skimming pricing strategy involves setting a high price initially to generate high revenue from customers who are willing to pay a premium price for the product due to its uniqueness or quality. This strategy is often used when there is little or no competition in the market, allowing the company to charge a premium price until competitors enter the market and drive the price down.

A ________ Pricing Strategy Often Is Used When a Company