Explain one pricing strategy that Adriana should and one pricing strategy she should not adopt as part of PUs aggressive marketing strategy. (6 marks) Adriana can consider first using penetration pricing which is setting a relatively low price to attract more students to apply to the university. There is a recession in Country A which is foreseeable to continue for several years and the experience of course offerings have been diminished by the transfer to online mode as the environment is not safe to deliver face to face lessons. Setting a lower price would attract students whose parents are price sensitive and could only afford a lower tuition fee. However, education is general y a service that is non-price elastic meaning that lower prices does not necessarily attract a greater demand.

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