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Odd-even pricing occurs when the price of a product is $9.99 (odd) or $10.00 (even) to attract different buyers. This is common in the housing
Odd-even pricing occurs when the price of a product is $9.99 (odd) or $10.00 (even) to attract different buyers. This is common in the housing market. I have noticed that when houses are first listed, they often are listed as $600,000 to attract buyers with a $600,000 budget, but often as the price drops, it will drop to $549,900 to get buyers that have a $550,000 budget. Prestige pricing is when a company inflates their price to make their product seem more exclusive. An example is a Louis Vuitton purse, that can cost around $1700 at the store, but only costs around $170 to make (Thompson, 2022). The allure is for people with a lot of money to be the only ones that can afford to buy the product, therefore making it exclusive. Price bundling is when a company sells a group of things at a discount from the separate price of the individual goods. According to Home Depot's website, they do this when it sells appliances. You can buy just a GE stove for $948, or you can buy a whole kitchen of appliances (stove, refrigerator, microwave and dishwasher) for $3,022. With the bundle, the stove's price drops
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