#1
Which of the following is NOT a pricing strategy?
Penetration Pricing
Predatory Pricing
Psychological Pricing
Production Pricing
#2
What is the primary objective of penetration pricing?
Maximizing short-term profits
Achieving market saturation
Building brand loyalty
Capturing market share quickly
#3
Which pricing strategy involves setting a high initial price to capture the segment willing to pay a premium price?
Skimming Pricing
Discount Pricing
Value-Based Pricing
Cost-Plus Pricing
#4
Which pricing strategy involves setting prices at a level designed to cover costs and generate a target profit?
Market-Oriented Pricing
Cost-Plus Pricing
Dynamic Pricing
Value-Based Pricing
#5
What is the main drawback of using psychological pricing?
It is difficult to implement
It may lead to consumer distrust
It requires extensive market research
It does not affect consumer behavior
#6
Which pricing strategy involves continuously adjusting prices based on market demand and other factors?
Skimming Pricing
Dynamic Pricing
Cost-Plus Pricing
Value-Based Pricing
#7
Which of the following is an example of a price skimming strategy?
A company selling its products at a lower price than competitors
A company setting a high initial price and gradually lowering it over time
A company offering discounts for bulk purchases
A company charging premium prices for newly launched products
#8
In the context of price elasticity of demand, if a 10% increase in price results in a 5% decrease in quantity demanded, what is the price elasticity of demand?
#9
Which of the following is NOT a determinant of price elasticity of demand?
Availability of substitutes
Income level of consumers
Price of the product
Consumer preferences
#10
Which of the following is a characteristic of inelastic demand?
Large change in quantity demanded for a small change in price
Consumers are highly sensitive to price changes
The price elasticity of demand is greater than 1
Consumers are not very responsive to price changes
#11
What is the formula for calculating price elasticity of demand?
(Percentage change in quantity demanded) / (Percentage change in price)
(Percentage change in price) / (Percentage change in quantity demanded)
(Total change in quantity demanded) / (Total change in price)
(Total change in price) / (Total change in quantity demanded)
#12
What happens to total revenue if demand is elastic and the price increases?
Total revenue decreases
Total revenue remains constant
Total revenue increases
It depends on the elasticity coefficient
#13
Which of the following statements is true about price elasticity of demand?
Products with many substitutes tend to have more elastic demand
Luxury goods tend to have less elastic demand
Necessities tend to have more elastic demand
Demand for unique products tends to be more inelastic