1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
iris [78.8K]
3 years ago
6

When Frito-Lay introduced its Stax brand of potato chips. These chips were meant to compete directly against Pringles. The inten

t was to gain market share quickly. During the first few months they were on the market, Stax retailed for 69 cents. What type of pricing strategy is Frito-Lay likely using?
A. ​Bait pricing
B. ​Penetration pricing
C. ​Periodic discounting
D. ​Price-skimming
E. ​Captive pricing
Business
1 answer:
Sedbober [7]3 years ago
3 0

Answer:

B, penetration pricing

Explanation:

Penetration pricing is a pricing strategy in which a manufacturer sets the price of its product low for a start so as to have a wide reach and acceptability in the market.

This pricing strategy is meant to make customers ditch their usual product for the new product, thereby having the new product attracting customers to itself.

Ultimately, penetration pricing increases market share of the new product manufacturer as it gains a lot of customers within the shortest possible time.

Penetration helps to discourage new product entrance into the market thus giving the product a large/high stock turnover throughout the product's distribution channel.

In the above question, Frito lay introduced its chips at a low price of 69cents for a period of time (first few months, say 3 or 4 months for example) in order to gain market share quickly.

Cheers

You might be interested in
An HR manager trying to recruit for a number of key positions in a firm asks the best talent to recommend the best employees the
Natali [406]

Answer:

school buses are yellow

Explanation:

8 0
3 years ago
_____ deals with reporting to outsiders. _____ accounting deals with the internal operations of the firm.
tensa zangetsu [6.8K]

Answer:financial accounting, managerial accounting

Explanation:

5 0
2 years ago
Bob sells tires. He knows that his weekly sales drop if he increases the unit price p (in dollars). The weekly sales are given b
spin [16.1K]

Answer:

Increase in weakly revenue = $9.8

Explanation:

Price (P) = 100, Demand or Sales N (P) = 120.

So revenue R(P) = P x N(P) = 120 x 100 = 120000

Given : 2 sales per week lost for 10 units increase in price.

New price  (P') = 110 , New Demand or sales N' (P) = 118

So new revenue R' (P) = P' x N' P = 110 x 118 = 12980

Change in Total revenue due to 10 units price rise = 12980 - 120000 = 980

So, change in total revenue due to one unit price rise = 980/ 10 = 9.8

8 0
3 years ago
How often should you typically monitor your checking account?
Gekata [30.6K]
As often as possible.
7 0
3 years ago
Question 1 of 40
Dmitriy789 [7]

Answer:

D. It reminds the audience of the advertiser's identity.

Explanation:

Marketing can be defined as the process of developing promotional techniques and sales strategies by a firm, so as to enhance the availability of goods and services to meet the needs of the end users or consumers through advertising and market research.

Advertisement refers to the promotional multimedia messages designed and developed to make the products or services of a company known to its customers and potential customers. It is generally considered to be one-sided because it focuses on painting a brand as the best and devoid of any negative issue.

A logo is simply a graphical symbol, emblem or illustration that serves as a means of identity and trademark of a particular company saddled with the responsibility of manufacturing goods and services for its customers. Logos are usually placed or inscribed in all products, so as to differentiate the brand from it's competitors and to make the customers aware of the identity of the manufacturer (advertiser) during an advertisement.

Hence, the statement which best describes the purpose of a logo is that it reminds the audience of the advertiser's identity.

8 0
2 years ago
Other questions:
  • Paying a salesperson more for increased sales is an example of:
    9·1 answer
  • Angell Inc. hired you as a consultant to help them estimate their cost of capital. You have been provided with the following dat
    14·1 answer
  • The following amounts were selected from the production report of Chandon Corporation: Actual units in production 42,000 Equival
    8·1 answer
  • Connor heard that as a general rule, he should spend no more than one week's pay on rent. If Connor's salary is $29,000 per year
    12·2 answers
  • The following are exogenous (not directly affected by income): G = 11 I = 4 X = M = 0 The consumption function is: C = k + cY, w
    7·1 answer
  • Samir is a self-employed marketing consultant. He had no income from January through March 2020. His April through December 2020
    14·1 answer
  • Https://youtu.be/CBNtbuL0Lb0o​
    7·1 answer
  • An individual or a firm can internalize an externality by​ ___________. A. disputing that an externality exists. B. doubling the
    9·1 answer
  • On January 1, Year 1, Lowing Company acquired a patent from Generics Research Corporation for $3 million. The legal life of the
    5·1 answer
  • Cereal is an example of a consumer product, where many ________ cost comprehensive prototypes are built since the product has __
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!