The correct question should be:
Companies facing the challenge of setting prices for the first time can choose between two board strategies; marketing-penetration pricing and _______ pricing.
Answer: Market Skimming pricing.
Step-by-step explanation:
A company with a product new to the market can either choose to use the market penetration pricing or the market skimming pricing.
The market penetration pricing works best in a market with a lot of competition. The penetration pricing is a kind of pricing a company uses where the price of it's Products are set to be very low to attract price-sensitive consumers and still make profit.
The market skimming pricing on the other hand is a price setting method where a high entry price is set for a new product and then subsequently reduced with increase in market competition.