Imagine that Eveready has developed solar rechargeable batteries that cost only slightly more to produce than the rechargeable batteries currently available. These solar batteries can be recharged by sunlight up to five times, after which they must be discarded. Unfortunately, the production process cannot be patented, so competitors could enter the market within a year. Which of the following would be the least sound marketing program decision? Multiple Choice Select a skimming pricing strategy to position the product as "premium." Seek widespread distribution to gain a foothold in what might be a potentially huge market. Limit production capacity until you are certain consumers will actually want the product. Avoid a connection to the Eveready brand until the product has proven itself. Use multiple brand names to discourage other competitors from entering the market.
Customary Pricing
There are various types of pricing strategies followed in the market. They are psychological pricing, odd pricing, free onboard pricing, customary pricing, prestige pricing, dual pricing, ruling pricing, negotiated pricing, mark up pricing, etc. each one can be explained as follows:
Multiple Unit Pricing
“Multiple-unit pricing is a practice where a company offers consumers a lower than unit price if a specified number of units are purchased.”
Imagine that Eveready has developed solar rechargeable batteries that cost only slightly more to produce than the rechargeable batteries currently available. These solar batteries can be recharged by sunlight up to five times, after which they must be discarded. Unfortunately, the production process cannot be patented, so competitors could enter the market within a year. Which of the following would be the least sound
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Select a skimming pricing strategy to position the product as "premium."
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Seek widespread distribution to gain a foothold in what might be a potentially huge market.
-
Limit production capacity until you are certain consumers will actually want the product.
-
Avoid a connection to the Eveready brand until the product has proven itself.
-
Use multiple brand names to discourage other competitors from entering the market.
The right option is to Select a skimming pricing strategy to position the product as "premium."
Competition Rivalry would be stopped if every day could make preliminary and brand reliability for its item. The skimming price strategy methodology would neutralize this, and its high per unit benefits would probably pull in competitors.
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