One disadvantage of skimming pricing policy for new products

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Reference no: EM131108270

One disadvantage of the skimming pricing policy for new products is that

a. such a policy tends to minimize the revenue received from sales.

b. it does not allow for much flexibility in price decreases for the futurE.

c. it creates a negative price-quality relationship in the mind of the consumer.

d. the financial returns the company receives have a tendency to attract competition quickly.

e. it leads to overpricing by competitors.

Reference no: EM131108270

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