Price skimming occurs in which of the following life-cycle stages?
A)introduction
B)growth
C)maturity
D)decline

Question

Quizplus · Accepted Answer

Price skimming is a pricing strategy generally used during the introduction stage of a product life cycle. In this stage, the product is new to the market and has unique features that differentiate it from other products. Therefore, the marketer charges a higher price initially to recover the high cost of production and to capture the early adopters who are willing to pay a premium price for the product.

Price Skimming Occurs in Which of the Following Life-Cycle Stages