50) In pricing her line of Smart Phone Cases, Lucie Loo remembers hearing that she needs...

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Economics

50) In pricing her line of Smart Phone Cases, Lucie Looremembers hearing that she needs to consider three decisions withrespect to pricing her product line. She seems to remember that onedecision is to identify the lowest-priced product and set the priceto drive traffic. Another decision she needs to make is to identifythe highest priced product and position it as her premium offering.What is the third decision Lucie needs to make?
estimate the total Economic Value (EV) for the complete productline to ensure she makes a profit
set the price differentials for all other products in the lineto reflect their perceived value
ensure that the cross elasticity of demand between the productsis positive
set the prices for the rest of the line to minimize productcannibalization
determine the break-even quantity for each item so that sheknows how much inventory to have on hand for each item

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Ans Second option Set the price differentials for all other products in the line to reflect their perceived value Explanation Because Lucie Loo has settled on the pricing of lowend and highend goods the remaining pricing of goods will also be See Answer

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