In order for price discrimination to be legal, what conditions must be met? Explain each condition and then discuss the ways a retailer can defend itself against price discrimination. NOTE: info in the photo attached.
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- a legislation requires sellers to set prices without talking to competitors : Select one: a. predatory pricing b. price discrimination C. price maintenance d. price fixingAn approach services use to set prices according to changing market conditions is known as a. premium pricing b. dynamic pricing c. cost-based pricing d. value-based pricingIf an item is particularly valuable to a customer, using customer-based pricing might suggest a price that is higher than the one that would be indicated by use of a standard markup. Describe a situation where the use of customer-based pricing would suggest a price that is lower than the one that would be indicated by use of a standard markup.
- Quaker Oats often, but not always, puts coupons within the package of a box of Quaker Oats for redemption on the next purchase. These coupons provide discounts not only on the product purchased but also on other Quaker Oats products. Consider the metrics of targeting, temporary, special, and irregular promotions. Are the in-package coupons a good form of price promotion for Quaker Oats? Why?Which of the following options best describes the going rate pricing technique? Sets prices high during new product/service introduction Sets prices consistently low to attract price-sensitive customers Sets prices to align with those of competitors Sets prices to maximize profit, based on consumer demandGillette’s pricing scheme is to sell razor handles at a relatively low price and razor blades at a relatively high price. This practice is known as: Group of answer choices predation. retail maintenance. leverage. tying.
- Consider the advertisement for a gutter cleaning service shown below. What is the external reference price in this ad? According to the course material, an advertisement could attempt to frame a price as a single loss, as two losses, as a gain and a loss, or as a gain foregone. Which one of those framings is this advertisement attempting to accomplish? Explain your reasoning. If your internal reference price for gutter cleaning service was $125, how would you perceive this advertised price of the company’s gutter cleaning service? Would you perceive it as a single loss, as two losses, as a gain and a loss, or as a gain foregone? Explain your reasoning.A pricing strategy is Group of answer choices a long-term approach to setting prices in a companywide integrated effort using one-time seasonal discounts to reduce inventory. using slotting allowances to gain access to distribution channels a short-term approach to setting pricesthe challenge with using this pricing scheme is determining an accurate relationship between the price per unit and the quantity demanded. a. market-based pricing b. cost plus pricing c. percentage of mark-up d. target costing
- If a firm wished to encourage repeat purchases by a buyer throughouta year, would a cumulative or a noncumulative quantity discount be abetter strategy?Give some terms other than “price” that are commonly used to refer to prices.Is subscription pricing likely to be as popular withcust- omers as it is becoming with many product suppliers?Why or why not?