Market-skimming pricing would likely be most effective in selling ________.
A)any convenience item
B)an electronic device for which research and development must be recouped
C)shampoo and bath soap
D)anything easily copied by competitors
E)most items at EDLP retailers such as Walmart

Question

Quizplus · Accepted Answer

Market-skimming pricing is an effective strategy for selling high-tech electronic devices for which research and development costs need to be recouped. By setting a high price initially, the company can make big profits from early adopters and then gradually lower the price as the product becomes more widely adopted. This strategy works particularly well for products with unique features that cannot be easily replicated by competitors.

Market-Skimming Pricing Would Likely Be Most Effective in Selling ________