Price & Promotion Flashcards
1
Q
What are the main pricing strategies used by start up?
A
- competitive pricing
- penetration pricing
2
Q
Why is price important?
A
- affects sales
- determines profit
3
Q
What is the relationship between price and demand?
A
As demand increases so does price
4
Q
What’s factors influence price?
A
- demand
- competition
5
Q
What are the 2 types of promotion?
A
Above the line and below the line
6
Q
Wha is above the line promotion?
A
Advertising using mass media
7
Q
What is below the line promotion?
A
Promotion without using mass media
8
Q
Advantages of below the line promotion
A
- cheaper
- more specific to market
9
Q
Disadvantages of below the line promotion
A
- doesn’t reach wide audience
- doesn’t look as professional
