Monchen Labs is an company that prides itself for innovating cutting-edge technologies in the
radio-diagnostics equipment industry.
The firm, as a policy, prices its newly-launched products
nearly 50 -60% higher than what it would sell the same products for nearly a year after their
launch. The firm justifies the high pricing as a means to recoup the rather prohibitive R&D costs
involved in the development process. Which of the following pricing objectives does Monchen
Labs follow in this case?
A) survival pricing objective
B) market skimming pricing objective
C) market share maximization pricing objective
D) product-quality leadership pricing objective
B
You might also like to view...
Partners Bank offers to lend you $50,000 at a nominal rate of 5.0%, simple interest, with interest paid quarterly. An offer to lend you the $50,000 also comes from Community Bank, but it will charge 6.0%, simple interest, with interest paid at the end of the year. What's the difference in the effective annual rates charged by the two banks?
A. 1.56% B. 1.30% C. 1.09% D. 0.91% E. 0.72%
Organizations make proactive initiatives to keep their products from becoming a _____, which is any product that is sold for about the same price by a multitude of vendors in a highly competitive market, usually with a thin margin of profit.
Fill in the blank(s) with the appropriate word(s).
The Finished Goods Inventory and Cost of Goods Sold for a manufacturing company for the year 20xx are as follows: January 1 Finished Goods Inventory, $382,500; December 31 Finished Goods Inventory, $270,000; Cost of Goods Sold for the year, $1,488,000 . The cost of goods manufactured for the year was
a. $1,105,500. b. $610,500. c. $1,150,500. d. $1,375,500.
International English is a mix of American English and _______________
a. Continental English b. Icelandic English c. Standard English d. British English