With regards to product-line pricing, companies normally develop product lines rather than single products and introduce price steps. The seller's task is to establish ________ quality differences between these price steps.
A) imaginary
B) monetary
C) perceived
D) actual
E) functional

Question

Quizplus · Accepted Answer

In product-line pricing, companies create different price steps for their product lines, and the seller's objective is to establish perceived quality differences between these price steps. This means that the seller needs to create the perception among consumers that the higher-priced products offer better quality or value than the lower-priced ones, even though the actual quality differences may not be significant.

With Regards to Product-Line Pricing, Companies Normally Develop Product Lines