IKEA slashed its prices in China to the lowest in the world.This is an example of a _____________.
A) market-skimming pricing
B) market-penetration pricing
C) new-product pricing
D) discount pricing
E) value-added pricing

Question

Quizplus · Accepted Answer

This strategy is called market-penetration pricing, which involves setting low prices to attract customers and capture market share. By slashing prices to the lowest in the world, IKEA is attempting to penetrate the Chinese market and compete with local players who offer cheaper alternatives.

IKEA Slashed Its Prices in China to the Lowest in the World.This