variable cost pricing will result in covering her total costs only

Samantha has been tasked by her manager to determine a pricing approach that will grow unit volume

and profitability of

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Out

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her

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wear

$$

$,$

$$Samantha$\text{'}$s brand of rugged outerwear geared to younger women.

She wants to make a positive impression on her manager and is considering the option of

implementing a variable cost pricing policy for the Out

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her

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wear brand. She reasons that a variable

cost pricing policy will provide the greatest incentive for consumers to purchase her brand, while

$$

$$as a result of taking ICORE. In

discussing the merits of Samantha

uses variable cost pricing the brand may not recover its fixed costs

variable cost pricing is only used for non

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profit organizations

customers will expect penetration pricing for the whole line