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प्रश्न
The main aim of penetrating pricing is to ______.
पर्याय
Provide funds for expansion
Maximize the market share
Provide a reasonable return on capital
Avoid price wars
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उत्तर
The main aim of penetrating pricing is to maximize the market share.
Explanation:
Penetration pricing involves setting a low initial price for a new product to attract a large number of customers quickly and gain a significant market share. By doing so, the company aims to establish a strong presence in the market, discourage competitors from entering, and build customer loyalty. Once a substantial market share is achieved, the company may gradually increase prices to improve profitability.
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संबंधित प्रश्न
Explain the below mentioned pricing strategy:
Penetrating pricing strategy
Factors which do not influence price determination is ______.
Mention the advantages of cost plus pricing.
Give one difference between skimming pricing and penetrating pricing.
What is skimming pricing?
“In a competitive market, parity pricing is the appropriate strategy.” Justify either for or against.
What is Cost plus pricing policy?
State two disadvantages of Cost plus pricing policy.
What pricing strategy will be used to launch shampoo?
What are various strategies used for pricing a product?
