Practicing Success
Practicing Success
CUET Preparation Today
| Assertion: Skimming strategy is employed only for a limited duration to recover most of the investment made to build the product. Reasoning: Skimming strategy works for customers who are both quality and quantity conscious. |
Both Assertion (A) and reasoning (R) are correct and R is the correct explanation of A.
Both Assertion (A) and reasoning (R) are correct and but R is not the correct explanation of A.
Assertion (A) is true but Reasoning (R) is not correct.
Assertion (A) is not true but Reasoning (R) is correct. |
| Assertion (A) is true but Reasoning (R) is not correct. |
| Skimming strategy is employed only for a limited duration to recover most of the investment made to build the product. To gain further market share, a seller must use other pricing tactics such as economy or penetration. This method can have some setbacks as it could leave the product at a high price against the competition. If the company caters to consumers who are quality conscious rather than price conscious, then this type of skimming strategy can work in a great way for a company. |
