Lenovo is developing a new tablet computer that they believe will revolutionize mobile computing. Since the company believes there is little direct competition for this new product, they plan to set a high price in comparison to other computer models. Lenovo is using a _____ pricing strategy.
A) skimming
B) market-minus
C) penetration
D) competitive

Question

Lenovo is developing a new tablet computer that they believe will revolutionize mobile computing. Since the company believes there is little direct competition for this new product, they plan to set a high price in comparison to other computer models. Lenovo is using a _____ pricing strategy. ​
A) ​skimming
B) ​market-minus
C) ​penetration
D) ​competitive

Quizplus · Accepted Answer

Lenovo is using a skimming pricing strategy, which involves setting a high price for a new product that is believed to have little direct competition, aiming to maximize profits from the segments of the market willing to pay a premium before adjusting prices later on.

Lenovo Is Developing a New Tablet Computer That They Believe