By stocking a new, highly visible line of shampoos priced lower than local stores, Jack is trying to increase
A) the quality of hair of the youth in the area.
B) the break-even point.
C) yield management.
D) fixed costs so that the variable costs would decrease.
E) his market share of the hair product market.

Question

Quizplus · Accepted Answer

By stocking a new line of shampoos priced lower than local stores, Jack is aiming to capture a larger share of the hair product market. This strategy is likely to attract price-sensitive customers who might have otherwise chosen to purchase from a competitor. By offering a lower-priced alternative, Jack is hoping to increase his customer base and ultimately increase his market share.

By Stocking a New, Highly Visible Line of Shampoos Priced