When sales figures for one of the products of Silkskin Cosmetics, a moisturizer, began to fall with low margins and declining volumes, the company decided to raise the price of the moisturizer

As volumes fell further, the company continued to raise prices, thus increasing margins, until it reached a price at which customers refused to buy the product. This pricing strategy is known as ________ pricing.
A) harvest
B) penetration
C) low-cost leader
D) plus-one
E) skim


A

Business

You might also like to view...

A country's political system does not usually affect human resource management.

Answer the following statement true (T) or false (F)

Business

Which is more effective at driving change: pull or push tactics?

a. Push tactics are more effective because they can utilize reward-and-punishment power b. Agents should try to only use pull tactics because they appeal to higher-order purpose c. Neither push nor pull tactics are more effective than the other d. Both push and pull tactics are effective in their own way, but pull tactics tend to bring everything together under a larger vision

Business

E-mail is appropriate for ________

A) short, informal messages that request information and respond to inquiries B) messages to multiple receivers C) use as a cover document when sending longer attachments D) all of these choices

Business

Landmark Corp. buys $350,000 of Schroeter Company's 8%, 5-year bonds payable at par value on September 1. Interest payments are made semiannually. Landmark plans to hold the bonds for the 5-year life. The journal entry to record the purchase should include:

A. A debit to Short-Term Investments-AFS $350,000. B. A debit to Debt Investments-AFS $350,000. C. A debit to Cash $350,000. D. A debit to Short-Term Investments-Trading $350,000. E. A debit to Debt Investments-HTM $350,000.

Business