Which of the following conditions would NOT support the use of a market-penetration pricing strategy?
A) The market is highly price sensitive.
B) Production and distribution costs will fall as sales volume increases.
C) The product's quality and image support a high price.
D) A low price would help keep out the competition.
E) A and C

Question

Quizplus · Accepted Answer

Market-penetration pricing strategy is when a low price is set for a product to penetrate a market quickly and deeply. However, if the product's quality and image support a high price, then a market-penetration pricing strategy may not be appropriate. Therefore, option C would NOT support the use of a market-penetration pricing strategy.

Which of the Following Conditions Would NOT Support the Use