When supermarkets and department stores drop the price on well-known brands to stimulate store traffic, they are said to be following ________.
A) value pricing
B) loss-leader pricing
C) special event pricing
D) high-low pricing
E) everyday low pricing

Question

Quizplus · Accepted Answer

This situation describes a loss-leader pricing strategy, where a product is sold below its cost to attract customers into the store in hopes they will make additional purchases at full price.

When Supermarkets and Department Stores Drop the Price on Well-Known