BUSML 3150 CHAPTER 9 UPDATED ACTUAL
QUESTIONS AND CORRECT ANSWERS
Question:
1. Value-based pricing begins with analyzing ___________.
Answer:
Consumer needs and value perceptions
Question:
2. The three major pricing strategies are ________.
Answer:
Customer value-based pricing, cost-based pricing, and competition-based
pricing
Question:
3. Marketers use three major pricing strategies: _____________.
Answer:
Customer value-based pricing, cost-based pricing, and competition-based
pricing
Question:
4. Which type of pricing involves charging higher prices on
an everyday basis but running frequent promotions to
lower prices temporarily on selected items?
Answer:
High-low pricing
Question:
5. _______ of the product's value set the ceiling on pricing,
while _______ set the floor.
Answer:
Customer perceptions; costs
Question:
6. Marketers must consider external considerations in
establishing pricing. Which of the following represents
those external considerations?
Answer:
The nature of the market, demand, and environmental factors
, Question:
7. A company's pricing strategy is affected by internal
factors such as __________.
Answer:
Overall marketing strategy, objectives, marketing mix, and organizational
considerations
Question:
8. Which is NOT an internal factor affecting pricing
decisions?
Answer:
The nature of the market
Question:
9. External factors when considering pricing include
____________ such as the economy, reseller needs, and
government actions.
Answer:
the nature of the market and demand and environmental factors
Question:
10. Which of the following is true regarding the price-
demand relationship?
Answer:
If demand is elastic, sellers will consider lowering their prices.
Question:
11. Beyond the market and the economy, what other factors
in its external environment must a company consider
when setting prices?
Answer:
Resellers, the government, and social concerns
Question:
12. A skimming pricing strategy is most likely to succeed for
which of the following conditions?
Answer:
Competitors should not be able to enter the market quickly.
QUESTIONS AND CORRECT ANSWERS
Question:
1. Value-based pricing begins with analyzing ___________.
Answer:
Consumer needs and value perceptions
Question:
2. The three major pricing strategies are ________.
Answer:
Customer value-based pricing, cost-based pricing, and competition-based
pricing
Question:
3. Marketers use three major pricing strategies: _____________.
Answer:
Customer value-based pricing, cost-based pricing, and competition-based
pricing
Question:
4. Which type of pricing involves charging higher prices on
an everyday basis but running frequent promotions to
lower prices temporarily on selected items?
Answer:
High-low pricing
Question:
5. _______ of the product's value set the ceiling on pricing,
while _______ set the floor.
Answer:
Customer perceptions; costs
Question:
6. Marketers must consider external considerations in
establishing pricing. Which of the following represents
those external considerations?
Answer:
The nature of the market, demand, and environmental factors
, Question:
7. A company's pricing strategy is affected by internal
factors such as __________.
Answer:
Overall marketing strategy, objectives, marketing mix, and organizational
considerations
Question:
8. Which is NOT an internal factor affecting pricing
decisions?
Answer:
The nature of the market
Question:
9. External factors when considering pricing include
____________ such as the economy, reseller needs, and
government actions.
Answer:
the nature of the market and demand and environmental factors
Question:
10. Which of the following is true regarding the price-
demand relationship?
Answer:
If demand is elastic, sellers will consider lowering their prices.
Question:
11. Beyond the market and the economy, what other factors
in its external environment must a company consider
when setting prices?
Answer:
Resellers, the government, and social concerns
Question:
12. A skimming pricing strategy is most likely to succeed for
which of the following conditions?
Answer:
Competitors should not be able to enter the market quickly.