Bundle pricing may be perceived to be of value by customers because
A) they always pay a lower price per item than they would have if they bought each item separately.
B) they prefer buying a combination of bundled products in a single transaction, which saves time, effort, and perhaps money.
C) the companies selling the products can sell them at a lower price because their costs of packaging are lower.
D) they are purchasing complementary products, which is convenient for them.
E) they can purchase items that are consumed frequently in larger quantities.
Question 2A Macy's manager designs the casual clothing department such that one of Macy's private label pairs of jeans, priced at 24.99, is positioned next to a national brand of jeans, such as Levis, priced at 39.99. What is the manager attempting to accomplish?
A) Everyday low prices strategy
B) Odd-even pricing strategy
C) Prestige pricing strategy
D) Special-event pricing strategy
E) Reference pricing strategy
Question 3Reference pricing is
A) listing the manufacturer's suggested retail price on the price tag along with the store's lower price.
B) mentioning the price that other retailers charge for the same product on the display for the product.
C) using a consumer's internal perceptions of what the appropriate price should be to help price a firm's products.
D) pricing a product at a moderate level and positioning it next to a more expensive model or brand.
E) using prices in advertising so that customers will have a point of reference when they come to the retail facility.
Question 4All of the following are psychological techniques except
A) customary pricing.
B) prestige pricing.
C) reference pricing.
D) odd-even pricing.
E) price skimming.
Question 5When a satellite dish company uses bundling to combine phone, dish, and broadband Internet access prices, it is attempting to influence a consumer's perception of price to make a product's price more attractive and reduce sticker shock. This is an example of using a ____ pricing strategy.
A) competition-based
B) cost-based
C) promotional
D) competitive
E) psychological
Question 6The pricing strategy that assumes that demand is relatively inelastic over certain price ranges is called
A) price lining.
B) odd-even pricing.
C) price skimming.
D) prestige pricing.
E) customary pricing.
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