Doubts

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May 30, 2015 at 12:29 pm #250525
saifudeen
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After studying the chapter demand and pricing strategy i have some doubts :
please make it clear sir,
1)inorder to maximise the shorterm profitability price skimming or penetration is good ?
2) inorder to achieve break even sooner price skimming is good policy ryt ?
May 30, 2015 at 3:10 pm #250631
John Moffat
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There is no precise answer – it depend on the actual costs and prices (and how short a term).
However price skimming is more likely to maximise short-term profitability and to break even sooner.
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