Question

If you were to buy one peach tree and one apple tree from the Stark Bros. fruit trees and landscaping catalog in two separate orders, you would pay a total of $109.99. However, if you order the peach and apple tree together in the same order, you pay only $89.99. When purchasing the two trees together, what pricing strategy does Stark Bros. employ?

Answer 1

Bundle pricing

Step-by-step explanation:

Bundle pricing is when a company charges a lower price when certain products are purchased together compared to when they are bought separately.

The price of the Apple and peach trees are higher when bought separately compared to when they are bought together. This is bundle pricing