Which alternative pricing strategy works best with unsought products?

QUESTION

Which alternative pricing strategy works best with unsought products?

A) psychological pricing
B) bundling
C) discounting
D) price skimming
E) penetration pricing

ANSWER

Answer: D
Explanation: D) Unsought goods and services are those that people have little interest in, are unaware of, or didn’t think they needed. Price skimming is setting a high price to make a large profit; it can work when there is little competition. When people find themselves in need of an unsought product, such as automobile towing services, they are often in a situation in which there is little room or time for making price comparisons.