Author Question: Uber uses a pricing strategy based on real-time market conditions. It charges less in periods of low ... (Read 162 times)

moongchi · **on:** Jun 29, 2018

Uber uses a pricing strategy based on real-time market conditions. It charges less in periods of low demand and more during periods of high demand. Sometimes these prices double or triple during periods of high demand. Uber argues that these higher prices motivate more drivers to pick up passengers, thus increasing the supply of drivers needed to handle the additional demand. This demand-based pricing strategy is an example of
A) special-event pricing.
B) penetration pricing.
C) dynamic pricing.
D) prestige pricing.
E) reference pricing.

Question 2

Brian is shopping for a new coat at Stein Mart and finds a North Face down jacket that he really likes. He knows that the North Face brand is considered to be high quality and that it's usually very expensive. He's pleasantly surprised to see the price-the suggested retail price is 199 and Stein Mart's price is 99. Brian decides to purchase the coat even though it's a little more expensive than he originally thought he'd spend on the jacket. What type of pricing strategy is Stein Mart using to price the North Face jacket and other merchandise?
A) Comparison discounting
B) Price leaders
C) Special-event pricing
D) Odd-even pricing