85.6k views
0 votes
Fresnas Designs Inc. is a company known for its quality interior decorations, customized service, and affordable prices. Given the high demand in the market for its service, the management of Fresnas Designs Inc. could price its products higher, but it prefers to price its products such that it will earn a reasonable revenue. In this case, the management of Fresnas Designs Inc. bases its pricing policy on:​__________

User Jason Rae
by
4.7k points

1 Answer

3 votes

Answer:

Earning Satisfactory Profits

Step-by-step explanation:

Based on the information provided within the qeustion it seems that the management of Fresnas Designs Inc. bases its pricing policy on Earning Satisfactory Profits. This is basically when a company revolves all their decisions around trying to make a reasonable level of profits that is consistent with the level of risk that they face. Which is what Fresnas is doing by pricing their products reasonably as opposed to pricing them higher even thought hey can.

User Yannic
by
5.5k points