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lesya [120]
3 years ago
8

Cosmeticon, a U.S.-based firm, has recently started exporting cosmetics to India. Cosmeticon has introduced a new range of miner

al-based makeup products for the first time in the Indian market. As Cosmeticon has no competitors in this segment of the Indian cosmetics market, it has set a very high price for its products in order to reach the premium, price insensitive segment of the market. This is an example of _________.
Business
2 answers:
saw5 [17]3 years ago
8 0

Answer:

Price skimming

Explanation:

Price skimming is a pricing strategy that is used when a product is initially introduced into the market. It involves selling the product at a high price and then lowering its cost as the product gets older in the market.

Price skimming strategy is used when a product in newly produced because there will less competitors in the market which then forces the customers to purchase the product at any given price.

Price skimming enables the manufacturers of the product to maximise profit due to the uniqueness of the product and absence of competitors.

NikAS [45]3 years ago
6 0

Answer:

Price skimming.

Explanation:

Price skimming is a pricing strategy in which an organization gradually lowers it's selling price after initially charging it's customers a high price in order to attract more price-sensitive customers. It is mostly used by a first-mover who faces lesser competition in business.

In this scenario, Cosmeticon had no competitors in that segment of the Indian cosmetics market, so it set a very high price for its products in order to reach the premium, price-insensitive segment of the market.

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In reviewing the agreement between AdCreate and Anchor Motors, Jacob Stein found that sales ofAnchor rose 2.8% compared to the p
kakasveta [241]

Answer:

AdCreate billed Anchor Motors $529,412 for the third quarter in 2010

Explanation:

The advertizing company usually takes a 15% commision

Which means from the total amount billed to customer 15% ar commision which means:

money paid to media + 15% comission of the billed amount= total amount billed

450,000 + 0.15X = X

Now, we try to solve for X and get the amount billed to anchor motors.

X = 450,000/.85 =<em> 529.411,76</em>

8 0
3 years ago
Value-based marketing requires that firms charge a price that customers perceive as giving them a good value for the product the
PilotLPTM [1.2K]

Answer:

True

Explanation:

Value-based marketing is a shift from product centered to customer centered approach. Customer values and ethics are the primary drivers of this strategy.

When value- based pricing is done, the customer's perception of the value of goods and services is taken into consideration.

This is different from basing price on product cost or historical price.

3 0
3 years ago
Which of the following statements is CORRECT? If Disney issues additional shares of common stock through an investment banker, t
nata0808 [166]

Answer:

The answer is: As they are generally defined, money market transactions involve debt securities with maturities of less than one year.

Explanation:

Money market transactions involve financial instruments with high liquidity and short-term maturities. Usually the securities have a one year or less maturity date.

A few examples of commonly traded securities are:

  • Banker’s Acceptance
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8 0
3 years ago
Which repayment plan will you be placed on automatically?
BartSMP [9]

The standard repayment plan is the basic plan for repaying student loans. You're automatically placed in this plan when you start repayment, unless you select a different option.

4 0
2 years ago
Select the correct answer.
Lapatulllka [165]

Answer:

B. equity financing

Explanation:

Equity financing involves giving up part of the company because it will have to be shared with the partners of the organization who are usually the investors.

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3 years ago
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