p 350 351 The retail price of cell phones has decreased from 4000 to less than

P 350 351 the retail price of cell phones has

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(p. 350-351)The retail price of cell phones has decreased from $4,000 to less than $99 over several years. This is due in large part to which type of pricing? A. Skimming pricingB. Prestige pricingC. Odd-even pricingD.Experience curve pricingE. Customary pricingExperience curve pricing is a method of pricing in which price often falls following the reduction of costs associated with the firm's experience in producing or selling a larger volume of the product—the situation with cell phones.AACSB: 3LL: 3Learning Objective: 14-01 Describe how to establish the "approximate price level" using demand-oriented; cost-oriented; profit-oriented; and competition-oriented approaches105.(p. 350-351)The retail price of fax machines has decreased from over $1,000 to less than $100 over the last decade. This is due in large part to A. skimming pricing.B. prestige pricing.C. odd-even pricing.D.experience curve pricing.E. customary pricing.Experience curve pricing is a method of pricing in which price often falls following the reduction of costs associated with the firm's experience in producing or selling a larger volume of the product—the situation with fax machines.AACSB: 3LL: 3Learning Objective: 14-01 Describe how to establish the "approximate price level" using demand-oriented; cost-oriented; profit-oriented; and competition-oriented approaches14-147
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Chapter 14 - Arriving at the Final Price106.(p. 350-351)The retail price of DVD players has decreased from $900 to less than $100 over several years. This is due in large part to A. skimming pricing.B. prestige pricing.C. odd-even pricing.D.experience curve pricing.E. customary pricing.Experience curve pricing is a method of pricing in which price often falls following the reduction of costs associated with the firm's experience in producing or selling a larger volume of the product—the situation with DVD players.AACSB: 3LL: 3Learning Objective: 14-01 Describe how to establish the "approximate price level" using demand-oriented; cost-oriented; profit-oriented; and competition-oriented approaches107.(p. 352)Which of the following is a profit-oriented pricing method? A.Target return on salesB. Loss leaderC. Above-, at-, or below marketD. Price liningE. Penetration pricingTarget return on sales is a profit-oriented approach.AACSB: 3LL: 2Learning Objective: 14-01 Describe how to establish the "approximate price level" using demand-oriented; cost-oriented; profit-oriented; and competition-oriented approaches14-148
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Chapter 14 - Arriving at the Final Price108.(p. 351)Target profit pricing refers to A. adjusting the price of a product so it is "in line" with that of its largest competitor.B. setting the price of a line of products at a number of different price points.C. adding a fixed percentage to the cost of all items in a specific product class.
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