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Which of the following conditions must be met for market-penetration pricing strategy to work? A. Production and distribution costs must decrease as sales volume increases. B. Enough buyers must want the product at a higher price. C. Costs of producing a smaller volume cannot be so high that they cancel the benefit of charging more. D. Competitors should not be able to enter the market easily and undercut the high price.

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Answer:

Step-by-step explanation:

The correct answer is B. Enough buyers must want the product at a higher price.


In a market-penetration pricing strategy, a company sets a low initial price for its product to attract a large number of buyers and gain market share. However, the strategy can only be successful if there are enough buyers who are willing to purchase the product even at a higher price in the future.



hope it helps!!!

User Narda
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Answer:

Enough buyers must want the product at a higher price.

User Bufke
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