You are selling $30 souvenir books for a club fund-raiser. How could you use the technique of lowballing to improve your sales?a. Start by offering the books at $70 each and pretend to bargain with customers, making $30 your “final offer.”b. Start by selling the books at $25, but once the customer has retrieved his or her checkbook, tell him or her you made a mistake and the books are actually $5 more than you thought.c.Offer the customers additional incentives to buy the book, such as free cookies with every purchase.d. Start by selling the books at $40, but tell the customer he or she will get $10 back in three weeks.
You are selling $30 souvenir books for a club fund-raiser. How could you use the technique of lowballing to improve your sales?a. Start by offering the books at $70 each and pretend to bargain with customers, making $30 your “final offer.”b. Start by selling the books at $25, but once the customer has retrieved his or her checkbook, tell him or her you made a mistake and the books are actually $5 more than you thought.c.Offer the customers additional incentives to buy the book, such as free cookies with every purchase.d. Start by selling the books at $40, but tell the customer he or she will get $10 back in three weeks.
Chapter7: Consumer Choice: Maximizing Utility And Behavioral Economics
Section7.3: Behavioral Economics
Problem 1ST
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You are selling $30 souvenir books for a club fund-raiser. How could you use the technique of lowballing to improve your sales?
a. Start by offering the books at $70 each and pretend to bargain with customers, making $30 your “final offer.”
b. Start by selling the books at $25, but once the customer has retrieved his or her checkbook, tell him or her you made a mistake and the books are actually $5 more than you thought.
c.Offer the customers additional incentives to buy the book, such as free cookies with every purchase.
d. Start by selling the books at $40, but tell the customer he or she will get $10 back in three weeks.
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