Question

When should a retailer use the penetration pricing objective?

When should a retailer use the penetration pricing objective?

Business   Operations-Management   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

The penetration pricing is a pricing strategy that are used by retailers with the objective to enter a new market or to increase the market share of the organization or product. In the case of penetration pricing, the price of a commodity is lowered initially with the objective to help penetrate into the market. Once the product is able to penetrate the market it can accordingly set the price in order to sustain and succeed in the industry and strive for a better position in the market.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
What is Market Penetration Pricing? What factors favour the use of this pricing strategy?
What is Market Penetration Pricing? What factors favour the use of this pricing strategy?
Examine when should a shipper use FOB origination pricing and when they should use FOB destination...
Examine when should a shipper use FOB origination pricing and when they should use FOB destination pricing
(a) What pricing objective(s) is a skimming pricing policy most likely implementing? Is the same true...
(a) What pricing objective(s) is a skimming pricing policy most likely implementing? Is the same true for a penetration pricing policy? (b) Which pricing policy is probably most appropriate for each of the following products? i. a DVD of a best selling movie ii. a skin patch to help smokers quit iii. a “smart” infant/baby car seat that alerts the driver’s cell phone when the child has unbuckled while the car is in motion, the child was accidentally left behind...
What is the difference between a penetration pricing strategy and a skimming pricing strategy? Under what...
What is the difference between a penetration pricing strategy and a skimming pricing strategy? Under what circumstances would each be used?
Give an example of each major type of pricing objective. Profit Oriented Pricing Objective: - Profit...
Give an example of each major type of pricing objective. Profit Oriented Pricing Objective: - Profit Maximization - Satisfactory Points - Target Return on Investment Sales Oriented: - Market Share - Sales Maximization Status Quo:
when switching from one objective lens to the next, should be used
when switching from one objective lens to the next, should be used
What action should undertake to ensure market penetration strategy successful implemented
What action should undertake to ensure market penetration strategy successful implemented
The objective(s) of transfer pricing are Select one: a. to provide an incentive for managers to...
The objective(s) of transfer pricing are Select one: a. to provide an incentive for managers to make decisions consistent with the firm's goals (i.e., goal congruence) b. to motivate managers c. all of the options are correct d. to provide a basis for fairly rewarding the managers e. to provide an incentive for managers to make decisions consistent with the firm's goals (i.e., goal congruence) and to provide a basis for fairly rewarding the managers A company may consider using...
why should you use the scanning objective to find objects first? why should you move the...
why should you use the scanning objective to find objects first? why should you move the stage away from the objectives to focus on an object rather than moving them moving them toward each other? should you move the coarse adjustment while on high power? why or why not?
Why does For order-of-magnitude information, it is practical to use correlation between cone penetration resistance and...
Why does For order-of-magnitude information, it is practical to use correlation between cone penetration resistance and the standard penetration test? Need explanation and step by step solution and without plagrism
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT