Question

Which of the following represents a pricing strategy that establishes a low price in hopes of attracting a great number of customers and discouraging competitors? a. penetration strategy b. skimming strategy c. price lining strategy d. odd-even pricing strategy

Answer 1

Answer:  a. penetration strategy

Explanation:

Penetration strategy is one of the marketing strategy to promote the business and enhance the sales. The goods and services are sold at low price initially to promote the production of more goods or merchandise at low cost and allowing the authority to obtain high profit percentage. This method is useful for discouraging the competitors.