Question

A shortage of blood for transfusions for injured animals has resulted in the introduction of a synthesized product called Oxyglobin, which can be used effectively as a blood replacement. The manufacturer of the product has put a high price on the product in order to recoup its research and development costs. The manufacturer of Oxyglobin is using a _____ policy.

Answer 1

Answer:

The answer is "price skimming"

Explanation:

The price skimming technique is often considered as a "market-plus" solution for marketing, it signifies a high cost compared to the costs of competitive products.

• It performs best when the industry wants to purchase the brand even when the prices are higher than average.
• It is now used as a plasma replacement, which puts the drug at a cheap price and also saves the production costs, that's why this method is implemented.