For years, Mercedes-Benz utilized a ________ pricing strategy; however, this created an opportunity for Toyota to introduce its luxury Lexus line and undercut Mercedes.
A)gray market
B)skimming
C)penetration
D)market holding
E)cost-based

Question

Quizplus · Accepted Answer

Mercedes-Benz used a skimming pricing strategy, which involves setting high prices to maximize profits from the top end of the market. This allowed Toyota to introduce Lexus at a lower price point, effectively undercutting Mercedes.

For Years, Mercedes-Benz Utilized a ________ Pricing Strategy; However, This