In: Economics
JBL sells its earphones for $6.99 just under a round number. JBL implements ...........
A. |
Price skimming |
|
B. |
Prestige pricing |
|
C. |
Odd-even pricing |
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D. |
Bundle pricing |
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E. |
Mark-up pricing |
Some manufacturers have tried to use the brand loyalty of their consumers to force retailers to carry manufacturers’ products and none from their competitors. These manufacturers were trying to force retailers to participate in a practice known as a(n) |
A. |
Selective distribution |
|
B. |
Intensive distribution |
|
C. |
Exclusive distribution |
|
D. |
Indirect distribution |
|
E. |
Disintermediation |
Q1) correct option - C. Odd-even pricing
Odd-even pricing is a pricing strategy involving the last digit of a product or service price. Pricesending in an odd number, such as $1.99 or $78.25, use an odd pricing strategy, whereas prices ending in an even number, such as $200.00 or 18.50, use an even strategy.
Q2) correct option - C.Exclusive distribution
Exclusive distribution as the name suggests is the model where in a particular locality a company has just one dealer or retailer. This makes the brand more exclusive and gives the dealer exclusive rights for the sale of the product in that particular vicinity. This dealer also deals only in one particular brand and does not sell brands of competitors.