Once marketing managers have determined a global product and promotion strategy,they can select the remainder of the marketing mix.Why does entry into many developing nations present special pricing problems?
A)the rate of capital accumulation exceeds the rate of population growth
B)exchange rates fluctuate
C)price discrimination
D)is a lack of mass purchasing power

Question

Quizplus · Accepted Answer

Developing nations often have a lack of mass purchasing power due to lower income levels and poverty. Therefore, pricing products appropriately can be a significant challenge for companies entering these markets. Companies must find a balance between making their products affordable for the target market while still earning a profit. Additionally, factors such as fluctuating exchange rates and price discrimination can further complicate pricing decisions in developing nations.

Once Marketing Managers Have Determined a Global Product and Promotion