_____ is a pricing policy whereby a firm charges a relatively low price for a product when it is first rolled out as a way to reach the mass market.
A)Penetration pricing
B)Price skimming
C)Price discrimination
D)Status quo pricing

Question

Quizplus · Accepted Answer

Penetration pricing is a pricing policy whereby a firm charges a relatively low price for a product when it is first rolled out as a way to reach the mass market. This helps to attract customers away from competitors and gain market share. As demand for the product increases, the firm may gradually increase the price to increase profits.

_____ Is a Pricing Policy Whereby a Firm Charges a Relatively