Question

Luxury automobile manufacturers typically add​ quality, services, and other features to differentiate their offers and thus support their higher price. this is an example of​ __________.

Answer 1

This is an example of value-added pricing.

Value-added pricing, simply put, is the value you are receiving or perceive to be receiving for the amount of money you pay for a good or service. When companies use high quality supplies, the price you would expect to pay for what you received will be higher as well.

Answer 2

This is an example of Value added pricing

Step-by-step explanation:

Value added pricing is a form of pricing system in marketing. It is the difference between the Price of the product and the cost of producing it.

The price is determined by what customers are willing to pay based on their perceived value.

Thus the action of Luxury automobile manufacturers of adding quality, services and other features to differentiate their offers and thus support their higher price is an example of Value added pricing