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Question
Scenario: Scooters Inc.Scooters Inc. is a producer of pricey scooters. The company's profits come mostly from the sales of its luxury line that caters to the esteem needs of the rich population. Ben Driven, vice president of marketing for Scooters Inc., has been asked to review the company's pricing strategy.Because Scooters Inc. caters to a very narrow niche of wealthy individuals, the CEO is interested in implementing a worldwide pricing scheme. Which of the following is most likely a reason for the establishment of such a scheme?
A) Their production costs differ from market to market.
B) The currency values fluctuate fairly predictably.
C) Their distribution channels are lengthy in each market.
D) Their customers have similar levels of purchasing power.
Answer
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