Studied by 6 people
What is price skimming?
Setting a high initial price and then decreasing it over time
What is price penetration?
Setting a low initial price and increasing it over time
What is predatory pricing?
Setting a low price to eliminate competition
Why is predatory pricing illegal?
Violates antitrust laws at its goal is to create a monopoly
What is competitive pricing?
Charging a similar price to competitors
What is cost-plus pricing?
Creating a price from the cost of manufacturing and then adding a fixed percentage
What is psychological pricing?
Charging a price slightly lower than a whole number
