Question

Charging a relatively high price for new and innovative products to those consumers most willing and able to pay the high price is called price:___________

Answer 1

Answer: Price skimming.

Explanation:

Price skimming is a product price setting method in which, a new product's market entry price is set to be very high, and then gradually reduced with time to gain more price sensitive consumers in the market. The price skimming effectively works for a product that doesn't have much competition in the market.