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Deanna Brzowski
on Dec 15, 2024

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Several pricing objectives relate to a firm's profit. In one known as ________, a company gives up immediate profit in exchange for achieving a higher market share in the hopes of penetrating competitive markets.

A) maximizing current profit
B) target return
C) break-even strategy
D) minimizing risk
E) managing for long-run profits

Managing For Long-Run Profits

A strategic approach that focuses on achieving sustained profitability through customer satisfaction, product quality, and ethical practices over short-term gains.

Immediate Profit

Earnings that are realized right after the completion of a transaction or operation.

Higher Market Share

A situation in which a company or product occupies a larger percentage of the total sales in its market relative to competitors.

  • Acknowledge the diverse pricing strategies businesses might choose, like optimizing present-day revenue, planning for future earnings stability, achieving a desired rate of return, and securing corporate continuity.
  • Elucidate the significance of pricing strategies in realizing a company's financial objectives, including maximizing revenue and optimizing profits.
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Melody MirinDec 19, 2024
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