Asked by
Rubaiya Maisha
on Dec 15, 2024Verified
During the introduction stage of the product life cycle, the strategy that discourages competitive entry by charging a low price for a new product is referred to as ________ pricing.
A) penetration
B) cost-plus
C) target ROI
D) below-market
E) skimming
Penetration Pricing
A pricing strategy where a product is offered at a lower price than competitors to quickly gain market share.
Competitive Entry
The process of entering a new market or industry, potentially disrupting existing competitors and market dynamics.
- Understand the strategic goals associated with different pricing tactics, namely skimming and penetration pricing, through the product life cycle stages.
Verified Answer
MR
Learning Objectives
- Understand the strategic goals associated with different pricing tactics, namely skimming and penetration pricing, through the product life cycle stages.
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