Many cosmetology schools allow their advanced students to style hair for "real-world" clients for a reduced fee. The students benefit from the experience, the clients get a less expensive haircut, and the school is able to provide students with additional training without costing it anything; in fact, they even profit from it. This is an example of
A)value-pricing.
B)societal pricing.
C)revenue sharing.
D)barter.
E)cost-assist pricing.

Question

Quizplus · Accepted Answer

The scenario described in the question is an example of value-pricing. The cosmetology school is offering a discounted price to clients, but still generating revenue from the service provided by its advanced students. The clients are also benefiting from the lower price compared to what they would pay at a professional salon.

Many Cosmetology Schools Allow Their Advanced Students to Style Hair