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Elan Coil [88]
3 years ago
5

A strategy where an organization sets a high initial price, often targeted at early adopters, is a ________.

Business
1 answer:
Crank3 years ago
8 0

Answer:

correct answer is skimming price strategy

Explanation:

solution

the correct answer is Price skimming price strategy because  

it is product pricing strategy in which company charge the initial price as highest and after then lower it over the time as that 1st customer demand will satisfy and competition entry in market but company lower the price value of the product to more attracting another customer with more price value as a sensitive segment of population  

so here correct option is skimming price strategy

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a) Proportion = 41.3%

b) Proportion = 9.18%

c) Proportion = 13.35%

d) Interest payment = $37.28

Explanation:

We have normal distribution with mean = 29 and standard deviation = 9

a) The proportion of the bank’s Visa cardholders pay more than $31 in interest is:

P(X > 31) = (\frac{X-29}{9}>\frac{31 -29}{9}) = P (Z > 0.22) = 1 - P (Z ≤ 0.22) =  

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b) The proportion of the bank’s Visa cardholders pay more than $31 in interest is:

P(X > 41) = (\frac{X-29}{9}>\frac{41 -29}{9}) = P (Z > 1.33) = 1 - P (Z ≤ 1.33) =  

1 - 0.90824 = 0.09176 = 9.176% ≈ 9.18%

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c) The proportion of the bank’s Visa cardholders pay more than $31 in interest is:

P(X > 19) = (\frac{X-29}{9}>\frac{19 -29}{9}) = P (Z < -1.11) = 1 - P(Z ≤ -1.11)) =0.13350 = 13.35%

The proportion of the bank's Visa cardholders that paid less than 19 dollars in interest is 13.35%.

d) Let's suppose this amount of payment is Y:

Therefore P(X > Y) = 0.18

so P(X < Y) = 0.82

Utilizing standard normal approximation

P(X ≤ Y) = (\frac{X-29}{9}\leq \frac{Y -29}{9}) = P (Z ≤ \frac{Y-29}{9})  =  0.82

Form the standard normal table we find that \frac{Y-29}{9} = 0.92

Therefore,

Y - 29 = 9×0.92

Y - 29 = 8.28

Y = 8.28 + 29 = 37.28

Therefore $37.28 of interest payment is exceeded by only 18% of the bank's Visa cardholders.

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