
A marketing research supplier that quotes an unrealistically low price for marketing research, only to raise it, is engaging in _______. A. price skimming B. price penetration C. price leadership D. low-ball pricing
The scenario you described — quoting an unrealistically low price initially and then raising it later — is an example of low-ball pricing.
The correct answer is:
D. low-ball pricing
Low-ball pricing is a tactic often used to secure a commitment from a customer, after which the true (higher) cost is revealed or applied.