EBK MARKETING
EBK MARKETING
6th Edition
ISBN: 8220103676250
Author: Grewal
Publisher: YUZU
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Chapter 15, Problem 7MA
Summary Introduction

To discuss: The more advantageous pricing strategy among a zone or delivered pricing strategy if the firms are located in O and K and justify the answer.

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Many successful retailers use a loss leader pricing strategy, in which they advertise an item at a price below their cost and sell the item at that price to get customers into their store. They feel that these customers will continue to shop with their store and that they will make a profit in the long run. Do you consider this an unethical practice? Who benefits and who is hurt by such practices? Do you think the practices should be made illegal, as some states have done? How is this different from bait-and-switch pricing?
b. If you were concerned about low income individuals having access to water, what type of pricing structure would you use in your municipality? Explain.
Do you provide any form of discount or special pricing to customers who have previously served in the military services of their country?
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