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WorksheetsPricing Strategies and Concepts
Total questions: 10
Worksheet time: 6mins
Which of the following is NOT a goal of pricing?
Increasing market share
Increasing business from competitors
Making a return on investment
Meeting competition
A basic published or advertised price, often subject to discount, describes which of the following?
list price
seasonal discount
sale price
cash discount
The idea of prestige pricing suggests which of the following?
A higher price suggests higher quality
Only rich people will buy higher priced items
People will always pay more to get a name brand product
Prices are higher to disguise standard products as higher quality products
When do companies begin to make a profit?
When profit margins decline
When supply and demand are at equillbrium
When consumers begin purchasing products
When the break even point is reached
What is an example of a company passing the cost on to the customer in regards to declining profit margins?
Oil
Hotels
Taxis
Makeup
How many steps are there to determine price?
5
6
7
8
Which of the following can companies do in the case of declining profit margins INSTEAD of passing the extra cost to the consumer?
Companies must always pass the extra cost to customers
Reduce the size of the product and increase the price
Reduce the size of the product and decrease the price
Reduce the size of the product instead of increasing the price
What are seasonal discounts?
Discounts offered to encourage buyers to buy in bulk
Discounts offered to encourage buyers to buy earlier than what current demands require
Discounts offered to encourage buyers to pay a price more quickly
Discounts offered temporarily to encourage immediate buying
What is a change in price that will affect the demand?
(a)
Which of the following is an example of odd-even pricing?
$105
$110.00
$119.99
$120
