Which of the following statements about the introduction stage of the product life cycle is most accurate?

A. During the introduction stage, it is best to avoid a penetration pricing strategy.
B. Because of large initial investment costs, industry profits often are initially negative.
C. During the introduction stage, it is best to avoid a skimming pricing strategy.
D. A firm should introduce the identical product at several different price points in order to gauge customer price sensitivity.
E. It is preferable stimulate selective demand rather than focus on primary demand.


Answer: B

Business

You might also like to view...

The key for planners to remember is that the ______ perceives the wait.

a. guest b. employee c. manager d. organization

Business

Define strategic planning. Discuss the steps involved

What will be an ideal response?

Business

Which of the following is NOT one of Freud’s psychosexual stages of development?

a. Genital b. Anal c. Nasal d. Oral

Business

One of the basic elements of zoning is the classification of land by permissible use as part of a comprehensive municipal plan

a. True b. False Indicate whether the statement is true or false

Business