If a producer's marketing manager doesn't know the shape of the demand curve for a new product,the initial price level policy should probably be a(n)________ policy.
A)flexible-pricing
B)target-return pricing
C)introductory pricing
D)penetration price
E)skimming price

Question

Quizplus · Accepted Answer

A skimming price policy is useful when you don't know very much about the shape of the demand curve.It's sometimes safer to start with a high price that can be reduced if customers balk.

If a Producer's Marketing Manager Doesn't Know the Shape of the Demand