As for our new product, we choose price skimming or
a market-plus approach to pricing because it contributes a high price relative to the prices of
competing products. Companies often use this strategy for new product when the
product is perceived by target market as having unique advantages. With the
absence of other information, customers will typically assume that prices are higher because our product is
contain better materials, made more unique. In other words,“ the money that
customer pay is affordable with the product that they will get”.
