Which of the following best describes the primary advantage of using a skimming pricing strategy for a new product?
1
It ensures rapid market penetration by setting a low initial price.
2
It helps in recovering high initial research and development costs quickly.
3
It attracts a wide customer base by offering affordable pricing.
4
It reduces competition by lowering the price below industry standards.
5
It creates a perception of low quality by pricing the product lower than competitors.