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Penetration pricing is a very aggressive type of pricing. once mistreatment this method, a resolute freshman sets its prices at a very low level (sometimes even with negative margin) in dictation to increase customer demand. After this, the company raises the price again, hoping to capture the self level of client demand as with its previous very low degree of pricing.
Market Penetration Pricing: Strategy & Example - Video & Lesson Transcript | Study.com
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As a member, you'll also get straight-out access to over 70,000 lessons in math, English, science, history, and more. Plus, get practice tests, quizzes, and personalized work to help you succeed. Free 5-day trial Sometimes a business will undercut its competition's pricing to gain a solid activity share.
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Penetration - definition of penetration by The Free Dictionary
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