Asked by
Cassie Garner
on Dec 15, 2024
Verified
Which of these statements about the product life cycle as a pricing constraint is most accurate?
A) The newer a product is, the higher the price that can usually be charged.
B) The later in the product life cycle a product is, the higher the price that can usually be charged.
C) Once a product is considered nostalgic, the price will continue to rise indefinitely.
D) Fads will generally have only two price points-high and low-but the values of those price points usually will be within 10 percent of each other.
E) Prices should not be changed until a product reaches its maturity stage.
Product Life Cycle
A concept that describes the stages a product goes through from its introduction to the market until it is discontinued.
Pricing Constraint
Limitations or factors that influence the setting of a price for a product or service, such as cost, competition, or customer expectations.
Product Nostalgia
A sentimental longing or affection for past periods or products, often leveraged in marketing to appeal to consumers' emotions.
- Examine how the stages of the product life cycle, along with demand and price, influence the development of pricing strategies.
Verified Answer
SM
Learning Objectives
- Examine how the stages of the product life cycle, along with demand and price, influence the development of pricing strategies.