#1
Which of the following is NOT a pricing strategy?
Segmentation pricing
ExplanationSegmentation pricing is not a commonly recognized pricing strategy.
#2
What is the primary goal of dynamic pricing?
Maximizing revenue
ExplanationDynamic pricing aims to maximize revenue by adjusting prices in real-time.
#3
Which factor is NOT typically considered in pricing decisions?
Employee satisfaction
ExplanationEmployee satisfaction is not directly related to pricing decisions.
#4
What is the concept of price elasticity of demand?
The responsiveness of quantity demanded to a change in price
ExplanationPrice elasticity of demand measures how quantity demanded changes in response to price changes.
#5
What is the concept of price skimming?
Setting a high initial price for a new product
ExplanationPrice skimming involves setting a high initial price for a new product before gradually lowering it.
#6
What is an example of a non-price competition strategy?
Product differentiation
ExplanationProduct differentiation focuses on distinguishing a product from competitors without changing its price.
#7
In which market structure is pricing power most likely to be concentrated among a few firms?
Oligopoly
ExplanationOligopoly is a market structure where a few firms dominate, allowing them significant pricing power.
#8
What is the formula for calculating markup percentage?
Markup / Cost
ExplanationMarkup percentage is calculated by dividing the markup amount by the cost.