Apple would be an example of using the price skimming strategy.

Here's why:

1. Price skimming is a pricing strategy where a marketer sets a relatively high initial price for a product or service at first, then lowers the price over time.

2. Apple is known for setting relatively high prices for its new products, such as the iPhone, iPad, and Mac computers. When a new product is launched, it's often priced higher than its competition.

3. Over time, Apple lowers the price of these products. This can be seen when they release a new model of a product - the older models typically drop in price.

4. This strategy allows Apple to maximize profits from customers who are willing to pay more to have the latest products, before targeting more price-sensitive consumers with the reduced price.

5. On the other hand, companies like McDonald’s, Walmart, and Chick-fil-A typically use a penetration pricing strategy, where they set a lower initial price to penetrate the market and gain market share.

Question

Apple would be an example of using the price skimming strategy.

Here's why:

1. Price skimming is a pricing strategy where a marketer sets a relatively high initial price for a product or service at first, then lowers the price over time.

2. Apple is known for setting relatively high prices for its new products, such as the iPhone, iPad, and Mac computers. When a new product is launched, it's often priced higher than its competition.

3. Over time, Apple lowers the price of these products. This can be seen when they release a new model of a product - the older models typically drop in price.

4. This strategy allows Apple to maximize profits from customers who are willing to pay more to have the latest products, before targeting more price-sensitive consumers with the reduced price.

5. On the other hand, companies like McDonald’s, Walmart, and Chick-fil-A typically use a penetration pricing strategy, where they set a lower initial price to penetrate the market and gain market share.

Knowee AI · Accepted Answer

Apple would be an example of using the price skimming strategy.

Here's why:

1. Price skimming is a pricing strategy where a marketer sets a relatively high initial price for a product or service at first, then lowers the price over time.

2. Apple is known for setting relatively high prices for its new products, such as the iPhone, iPad, and Mac computers. When a new product is launched, it's often priced higher than its competition.

3. Over time, Apple lowers the price of these products. This can be seen when they release a new model of a product - the older models typically drop in price.

4. This strategy allows Apple to maximize profits from customers who are willing to pay more to have the latest products, before targeting more price-sensitive consumers with the reduced price.

5. On the other hand, companies like McDonald’s, Walmart, and Chick-fil-A typically use a penetration pricing strategy, where they set a lower initial price to penetrate the market and gain market share.

Which one of these companies would be an example of using the price skimming strategy?McDonald’sAppleWalmartChick-fil-A

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