Asked by Toshia Bolton on May 18, 2024

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Computing the experience curve most likely helps a marketer to ________.

A) predict a product's life cycle stage
B) retain loyal business customers
C) develop a pricing strategy
D) improve a mature product

Experience Curve

A concept that suggests costs decline over time as a result of gained experience and increased efficiency.

Pricing Strategy

A plan or approach a company uses to set the prices for its products or services, aiming to balance competitiveness with profitability.

Product's Life Cycle Stage

The phase that a product goes through during its market life, including introduction, growth, maturity, and decline, affecting marketing strategy and profitability.

  • Gain an understanding of how experience curves influence the creation of a firm's pricing policy and the anticipation of earnings.
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AP
Anileme Portillo-DelgadoMay 19, 2024
Final Answer :
C
Explanation :
Computing the experience curve can help a marketer develop a pricing strategy by identifying the cost savings that occur as a result of increased production levels. This can help the marketer determine the appropriate pricing strategy to maintain competitiveness while also increasing profits. While understanding a product's life cycle stage and improving a mature product are important considerations for a marketer, computing the experience curve may not directly contribute to these goals. Retaining loyal business customers is also an important consideration, but it is not directly related to the experience curve.