Commercial Applications
Which pricing strategy will be used to launch a high end auto motors?
- Parity Pricing
- Skimming Pricing
- Cost Plus pricing
- Penetrating pricing
Answer
Skimming Pricing
Reason — High-end auto motors are distinctive, premium products targeted at affluent consumers. Skimming pricing is appropriate for such highly distinctive products, where a high price is set initially to recover heavy investment costs and 'sell to the classes' who don't mind paying a premium.
Related Questions
The pricing strategy involves charging according to what competitors are charging:
- Going rate pricing
- Cost plus pricing
- Penetrating pricing
- Skimming pricing
In which stage of the product life cycle, sales continue to grow but at a decreasing rate?
- Maturity stage
- Decline stage
- Growth stage
- Introduction stage
Which feature is pertaining to Introduction stage of PLC?
- Competition is very severe
- Product is known all over the market
- It is a risky stage
- New versions of the product must be made available
Which of the following is not an element of Marketing Mix?
- Price Mix
- Place Mix
- Promotion Mix
- Process Mix