If a firm’s marketing dashboard displays a CDI under 100 for a consumer packaged
good, such as General Mills’ Warm Delights Minis, this indicates which of the
following?
a. a weak brand position in a segment
b. a strong brand position in a segment
c. above-average product category purchases by a market segment
d. below-average product category purchases by a market segment
e. There is not enough information to make any conclusions.
Answer:
Skimming pricing refers to
a. setting the lowest initial price possible when introducing a new or innovative product
in order to ‘skim” sales from competitors.
b. setting the highest initial price that customers really desiring the product are willing
to pay when introducing a new or innovative product.
c. setting a low initial price on a new product to appeal immediately to the mass market.
d. the practice of replacing promotional allowances with higher manufacturer list prices.