All of following are NOT true about about penetration pricing EXCEPT:

$($A$)$ Penetration pricing is a profit$-$oriented approach to pricing.

Penetration pricing is a cost$-$based pricing method.

Penetration pricing encourages competitors to enter a market.

A penetration pricing strategy is more effective in a marketplace with price$-$sensitive consumers.

Because penetration pricing is a high initial$-$price strategy, it will not attract competitors.