If REVO sets the price for its sunglasses at $240, it is most likely using _____pricing to convey ______.
A) product-line; prestige
B) product-line; quality
C) psychological; quality
D) psychological; prestige
E) price-skimming; quality

Question

Quizplus · Accepted Answer

REVO is most likely using psychological pricing to convey prestige by setting a relatively high price point for its sunglasses. This pricing strategy can generate the perception of quality and exclusivity among consumers, which could further enhance the brand's image and appeal to certain target segments. Product-line pricing, on the other hand, would involve offering different products at different price points within the same category, while price-skimming would imply setting a high price at launch and then gradually reducing it over time.

If REVO Sets the Price for Its Sunglasses at $240