Exam 16: Pricing Concepts and Strategies

What is the process called in which buyers ask a number of potential suppliers to submit price quotes on a proposed purchase or contract, of which the lowest will be accepted?

Tariffs often make it possible for firms to set prices on domestically priced goods well above world market levels.

Lower "off-season" prices for lodging at resorts illustrates the use of yield management as a strategy to generate revenues for a largely fixed-cost industry.

In a recent special offer, any customer who brought in a toaster oven, working or not, was given a $50 credit toward the purchase of a new Amana microwave oven.What is this an example of?

What does the use of bots to search out price quotes on specified products force Internet marketers to do?

When do buyers and sellers often set purchase terms using negotiated contracts?

What would demand in the short run tend to be if the price of basic food products were to increase significantly?

A pricing policy is a general guideline that reflects marketing objectives and influences specific pricing decisions.

Bots act as comparison shopping agents because they search the Web for a specific product and print out a list of sites that offer the best prices.

More than half of all eBay transactions occur at fixed prices.

Which of the following is an example of odd pricing?

What is a pricing policy that features variable pricing said to have?

What is the practice of marketing merchandise at a limited number of prices called?

What costs are used in incremental-cost pricing?

Marketers, encouraged by the Profit Impact of Marketing Strategies project (PIMS) analysis, find it is better to have a smaller share of a large market than a larger share of a small market.

Which of the following statements MOST accurately describes breakeven analysis?

Which of the following is NOT an advantage of skimming pricing?

The Acme Flashlight Company breaks even at 20 000 flashlights at $6 each, with the average variable cost per flashlight of $4.What is the amount of its fixed costs?

Pure competition is a market structure dominated by only one seller of a product that has no close substitutes.

The breakeven model is cost based and does not address the question of whether customers will actually purchase the product at the specified price in the quantity required to break even or make a profit.