Question

what pricing strategy is used when a new product is introduced to the marketplace at a low price to win customer acceptance?

a penetration pricing

b price lining

c psychological pricing

d price skimming

Explanation:

Penetration pricing is a strategy where a new product is introduced at a low price to gain market share and customer acceptance. Price lining involves offering products at different price points, psychological pricing uses pricing to influence perception (like 9.99), and price skimming sets a high initial price. So the correct strategy here is penetration pricing.

Answer:

A. penetration pricing