Penetration pricing
What Penetration pricing means in Business GCSE, as defined for AQA.
Definitions of Penetration pricing
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Reference: AQA
Setting a low initial price to attract customers and gain market share quickly, which may reduce short-term profit.
A contrasting approach that starts low to win market share quickly.
Topics that use Penetration pricing
Related terms
- Access to customers
- Adaptation and reaction
- Adaptation to change
- Advertising
- Balancing
- Batch Production
- Brand awareness
- Brand awareness and image
Using Penetration pricing in the exam
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