Experience-curve pricing ________.
A) assumes competitors are weak followers
B) allows products to project a high quality image
C) is applicable only to manufacturing costs
D) focuses on reducing fixed costs
E) is generally risk-free

Question

Quizplus · Accepted Answer

Experience-curve pricing assumes that competitors will not be able to match the cost reductions achieved through increased production experience, thus considering them as weak followers.

Experience-Curve Pricing ________