Which of the following statements about a dynamic pricing policy is most accurate?
A)A dynamic pricing policy is especially suited to low cost items where profit margins are slim.
B)A dynamic pricing policy should not be used with large ticket items such as cars or real estate.
C)When using a dynamic pricing policy,the seller may risk violating the Robinson-Patman Act.
D)Dynamic pricing is not a form of yield management pricing.
E)Dynamic pricing is rarely used for online purchases because of the high cost to develop information technology and data warehouses.

Question

Quizplus · Accepted Answer

The Robinson-Patman Act prohibits price discrimination between customers, which may occur with a dynamic pricing policy. The other options are inaccurate: A is incorrect because dynamic pricing is often used for high-cost items; B is incorrect because dynamic pricing can be used for any type of product; D is incorrect because dynamic pricing is a form of yield management pricing; and E is incorrect because dynamic pricing is frequently used for online purchases.

Which of the Following Statements About a Dynamic Pricing Policy