Which statement best describes promotional pricing?

Which statement best describes promotional pricing?

• A. Abolishing prices completely
• B. Discounts and sales
• C. Promotional pricing
• D. Loss leaders

Answer: (B)

Promotional pricing is about temporarily reducing prices to attract customers and boost sales. The statement describing this idea as discounts and sales captures the core action involved—lowering prices for a limited time or for a specific promotion. Abolishing prices completely isn’t how marketing works, since prices help signal value and guide purchase decisions. While the term “promotional pricing” describes the approach, it doesn’t by itself explain what happens; discounts and sales show the actual tactic. Loss leaders are a particular tactic within promotional pricing where one item is sold at a loss to draw customers in, so it’s related but not the general description of promotional pricing.

Promotional pricing is about temporarily reducing prices to attract customers and boost sales. The statement describing this idea as discounts and sales captures the core action involved—lowering prices for a limited time or for a specific promotion. Abolishing prices completely isn’t how marketing works, since prices help signal value and guide purchase decisions. While the term “promotional pricing” describes the approach, it doesn’t by itself explain what happens; discounts and sales show the actual tactic. Loss leaders are a particular tactic within promotional pricing where one item is sold at a loss to draw customers in, so it’s related but not the general description of promotional pricing.