Which of the following is a reason why luxury branded products are sold for high prices?
To be accessible
To give the impression of higher quality
To stay affordable
If the price of a product increased, what would be expected to happen to the demand for it?
The demand would fall
The demand would rise
The demand would stay the same
Why should a business consider unit cost when setting prices?
To make a profit
To protect its brand image
To meet demand
What enables some manufacturers to charge much higher prices for products that are almost identical to those of their competition?
Technology
Brand image
Mass market
A venue expects a concert to be a sell-out, so it decides to increase the usual price of a ticket. Which factor has the venue considered in this pricing decision?
The cost of putting on the concert
The quality of the concert
The demand for tickets for the concert
Which of these products would be best suited to the ‘freemium’ pricing model?
A can of baked beans
A mobile app
A window cleaning service
Which of these best defines a pricing strategy?
An approach that ensures that a business always covers the cost of producing a product
A method used by a business to ensure that it is always able to charge as high a price as possible
The approach that a business takes when deciding how much to charge for its products
Which of these pricing strategies would be most suitable for a new branded games console with unique features, in the introduction phase of its life cycle?
High price, low volume
Low price, low volume
Low price, high volume
A business wants to launch a new healthy snack bar. The market is crowded with similar products. Which of these pricing strategies would be most suitable?
Which of these is not a factor when setting prices?
The brand image of the product
The quality of the product
Trust