Final answer:
When a new product is launched in a market where similar items are already being sold, the price is typically determined using e) value-based methods. This means that the price is based on the perceived value that the product offers to customers.
Step-by-step explanation:
When a new product is launched in a market where similar items are already being sold, the price is typically determined using value-based methods. This means that the price is based on the perceived value that the product offers to customers. The company may assess the features, benefits, and uniqueness of the product compared to competitors, and set a price that reflects this value.
For example, if a new smartphone is being launched in a market where other smartphones are already available, the company may consider factors such as the phone's camera quality, battery life, and software features. If the new phone offers superior features compared to competitors, the company may set a higher price to reflect the higher value it provides.