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CIPS A6 Exam - Topic 3 Question 71 Discussion

Actual exam question for CIPS's A6 exam

Question #: 71
Topic #: 3

[All A6 Questions]

Which of the following best describes the pricing policy known as 'skimming'?

AA low price set to gain acceptance of a new product

BReducing prices to increase sales and distribution

CA high price aimed at a quick recovery of costs

DA price set in line with that charged by competitors.

Show Suggested Answer

Suggested Answer: A

by Katlyn at Feb 10, 2025, 09:06 PM

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Brendan

7 months ago

Really? I always thought it was about matching competitors' prices.

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Danilo

8 months ago

Nope, it's definitely about high pricing.

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Gabriele

8 months ago

I thought skimming meant low prices to attract buyers?

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Dino

8 months ago

Totally agree, C is the right answer!

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Ashlee

8 months ago

Skimming is all about high prices to recover costs quickly.

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Judy

9 months ago

I thought skimming was more about competitive pricing, but now I’m questioning if that’s really what D means.

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Justine

9 months ago

I’m not entirely sure, but I feel like skimming has something to do with maximizing profits at launch, which sounds like C again.

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Lynda

9 months ago

I remember practicing a question like this, and I think skimming is definitely not about low prices, so A seems wrong.

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Annmarie

9 months ago

I think skimming is about setting a high price initially to recover costs quickly, so I’m leaning towards C.

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Deandrea

9 months ago

I'm a little confused by the wording of these options. I know 'skimming' has something to do with pricing, but I'm not sure which one fits best. I'll have to think about this one a bit more.

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Mertie

9 months ago

Okay, let me think this through. 'Skimming' is when you set a high price to recover costs quickly, right? I'm pretty confident that's the right answer, so I'll select C.

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Selma

9 months ago

Hmm, I'm not totally sure about this one. The options seem a bit similar, but I think 'skimming' refers to setting a high initial price, so I'll go with C.

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Kallie

9 months ago

I think this is a pretty straightforward question. The pricing policy of 'skimming' is clearly described as a high price aimed at quick cost recovery, so I'll go with option C.

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Tarra

1 year ago

B seems like the clear winner here. Skimming is the pricing strategy of choice for anyone who's feeling a bit 'creme de la creme' about their new product.

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Melinda

1 year ago

Yeah, setting a high price for a new innovative product makes sense to quickly recover costs.

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Alica

1 year ago

I agree, option B is definitely the best description of skimming.

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Casandra

1 year ago

Hmm, I'm going with B as well. Skimming is like the corporate version of 'the early bird catches the worm'.

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Chan

1 year ago

Well, skimming is about setting a high price for a new product to recover costs quickly, so I still think it's B.

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Charlene

1 year ago

I think B is the right answer. Skimming allows you to maximize profits in the short-term before competitors can undercut you.

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Elenora

1 year ago

It's a good strategy for new and innovative products.

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Denae

1 year ago

That's true, it helps in recovering costs quickly.

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Hollis

1 year ago

Skimming is all about setting a high price initially.

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Wilda

1 year ago

I agree, option B is the correct answer.

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Ozell

1 year ago

Definitely B. Skimming is all about charging a premium price to recoup your costs quickly when you've got a new and innovative product on your hands.

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Georgiana

1 year ago

I agree with you, it's definitely B. Skimming is all about recovering costs quickly with a high price for a new product.

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Derrick

1 year ago

I think it's actually A. Skimming is about setting a low price to gain a large market share.

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Gail

1 year ago

I disagree, I believe it's A.

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Chan

1 year ago

I think the answer is B.

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