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    Question

    Penetration pricing is used

    to:
    A Recover development costs quickly Correct Answer Incorrect Answer
    B Enter the market rapidly Correct Answer Incorrect Answer
    C Signal premium positioning Correct Answer Incorrect Answer
    D Maximise short-term profits Correct Answer Incorrect Answer
    E Avoid competition Correct Answer Incorrect Answer

    Solution

    Penetration pricing involves low initial prices to quickly gain market share and discourage competitors.

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