____ starts with a high price to establish uniqueness; then drops the price as competitors enter the market.
A)Price skimming
B)Premium pricing
C)Product bundle pricing
D)Captive product pricing
E)Demand-based pricing

Question

____ starts with a high price to establish uniqueness; then drops the price as competitors enter the market. ​
A)Price skimming
B)Premium pricing
C)Product bundle pricing
D)Captive product pricing
E)Demand-based pricing

Quizplus · Accepted Answer

Price skimming involves setting a high price initially to maximize profit from segments willing to pay the high price, then gradually lowering the price to attract more price-sensitive customers. This strategy is often used for new, innovative, or luxury products.

____ Starts with a High Price to Establish Uniqueness; Then