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Commerce · Q607

Economics

Graduate and Post Graduate · Commerce · question 607

Q607

Penetrating pricing strategy is appropriate when

A.
price elasticity of demand in the market is highly inelastic
B.
price elasticity of demand in the market is uncertain
C.
price elasticity of demand in the market is highly elastic
Answer
D.
income elasticity of demand in the market is negatively elastic

Answer: Option C

Solution

Answer: Option C
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