Advertisements
Advertisements
Question
The pricing strategy involves charging according to what competitors are charging ______.
Options
Going rate pricing
Cost plus pricing
Penetrating pricing
Skimming pricing
Solution
The pricing strategy involves charging according to what competitors are charging Going rate pricing.
Explanation:
Going rate pricing, also known as competitive pricing, involves setting the price of a product based on the prices charged by competitors. This strategy ensures that a company's prices align with the market and helps maintain competitiveness. It is commonly used in industries where products are similar and price competition is intense.
APPEARS IN
RELATED QUESTIONS
Which pricing strategy involves charging according to their competitors?
Explain the below mentioned pricing strategy:
Skimming pricing strategy
It is also known as 'going rate pricing' or competition based pricing.
Introducing a product at low price and increasing the price once the brand succeeds is known as ______ pricing.
The main aim of penetrating pricing is to ______.
Which pricing strategy will be used to launch a high end auto motors?
"Competition based pricing is ideal for non-branded products." Comment.
In a competitive market, parity pricing is the appropriate strategy. Justify either for or against.
Identify two desirable conditions under penetrating pricing.
What are the conditions under which parity pricing is desirable?
