Apple iPhoneApple Inc. iPhone went on sale on June 29, 2007. Apple's loyal and enthusiastic customer base is known for rushing to purchase its new products and the iPhone enjoyed a tremendous amount of "buzz" before its introduction. As expected, the iPhone entered the market at what many believed to be a high price ($599). However, within weeks the price was reduced to $399. By the end of 2007 over 8 million iPhones had sold in the U.S. marketplace. By most, if not all measures, the original iPhone was a huge success for Apple and it exclusive U.S. carrier AT&T.On July 11th, 2008, Apple Inc. released the iPhone 3G, which it advertised as twice as fast as the original iPhone for half the cost. However, in order to obtain an iPhone at the new price of $199, buyers had to agree to a
two-year service contract with AT&T. This allows iPhone users to receive phone calls and email, and search the web on the same device. A single charge of $59.99 from AT&T included 450 minutes of cellular calls, with free nights and weekend minutes, unlimited data, visual voicemail, 200 text messages, rollover minutes, and unlimited mobile-to-mobile service within the AT&T network. This approach succeeded and over a million iPhone 3Gs were sold during the introductory weekend.Refer to Apple iPhone. Samsung recently introduced its Instinct cellular phone, apparently to compete directly with the iPhone. If Samsung checked the price of the iPhone at the Apple Store and AT&T locations and then set the price of the Instinct to match the iPhone's price, it would be using a _____ pricing approach.
A. bracketing
B. penetration
C. status quo
D. retain maintenance
E. skimming
Answer: B
You might also like to view...
________ are general business sources of external secondary data that provide brief descriptions of companies, organizations, or individuals
A) Guides B) Indexes and bibliographies C) Directories D) Nongovernmental statistical data E) Standard Industrial Classification (SIC) codes
Builders Inc. and Concrete Supply Company enter into a contract for a sale of cement. Concrete delivers, but Builders does not pay. Concrete can recover as damages
A. any profit lost minus any loss avoided. B. whatever amount Concrete wishes to claim. C. the purchase price plus incidental damages. D. the market price at the place at which Concrete delivered the goods.
The purpose of most business reports is to A) present data
B) answer questions. C) solve problems. D) All answer choices provide purposes for business reports.
All of the following statements about the independent agency system are true EXCEPT
A) Agents are often authorized to adjust small claims. B) Agents are compensated on the basis of commissions. C) The insurer rather than the agent owns the renewal rights to the business. D) The agent is an independent business person who represents several insurers.