During the recent worldwide recession when wine usage was declining,Nickel & Nickel launched a new brand of wine,which it sold at $125 a bottle.The wine is allowed to age three times as long as lower-priced wines,and the grapes used in the wine's production are a rare variety.Wine lovers appreciate how both production techniques improve wine quality.What did Nickel & Nickel use to build market share?
A) price lining
B) value-based pricing
C) status quo pricing
D) leader pricing

Question

Quizplus · Accepted Answer

Nickel & Nickel used value-based pricing by emphasizing the quality and rarity of their product, which justified the premium price of $125 per bottle. They targeted wine lovers who appreciate and are willing to pay more for higher-quality and unique wines. This strategy helped them differentiate from lower-priced wines and attract a niche segment of the market, building their market share.

During the Recent Worldwide Recession When Wine Usage Was Declining,Nickel