11 In setting prices for products and services managers may

11) In setting prices for products and services, managers may attempt to ch customer is willing to pay however, too high a price may- A) deter a customer from purchasing a product and seek alternativers B) increase demand and demand for the product C) indicate supply is too plentiful D) decrease a competitor\'s market share

Solution

Answer is option (A) Deter a customer from purchasing a product and seek alternatives.

Explanations: Pricing strategy is very much important in every stage of a product\'s life cycle. High pricing strategy is adopted to recover as much profit as can before the market being crowded by competitors, but if the price is set too high, it will discourage the customer to buy the product and they will find for alternatives.

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