Asked by
Brady Carter
on Dec 15, 2024
Verified
Setting a high price so that quality- or status-conscious consumers will be attracted to the product and buy it is referred to as
A) skimming pricing.
B) status pricing.
C) price lining.
D) value pricing.
E) prestige pricing.
Prestige Pricing
A pricing strategy where prices are set higher than average to suggest status, exclusivity, and high quality.
Status-conscious Consumers
Individuals who make purchasing decisions based on the social status or prestige associated with a product or brand.
- Grasp the foundational elements of penetration and skimming pricing strategies and distinguish when to put them into practice.
- Recognize different pricing approaches and their strategic intentions (e.g., prestige, target, price lining).
- Analyze the role of pricing in positioning a product in the market (e.g., high-quality image).
Verified Answer
EO
Learning Objectives
- Grasp the foundational elements of penetration and skimming pricing strategies and distinguish when to put them into practice.
- Recognize different pricing approaches and their strategic intentions (e.g., prestige, target, price lining).
- Analyze the role of pricing in positioning a product in the market (e.g., high-quality image).