During the introduction stage of the product life cycle, ________ pricing strategy may be used. This pricing strategy charges a high initial price to recoup the costs of product development.

A) a penetration
B) a cost-plus
C) a target ROI
D) a skimming
E) an above-market

Skimming Pricing

A pricing strategy where a company charges a high initial price for a product and gradually lowers it over time.

Product Development

The process of bringing a new product or service to the market, from idea generation and design to commercialization.

Introduction Stage

The phase in the product life cycle where a new product is launched into the market, characterized by initial promotional efforts and low sales growth.