Pricing: Tata Price Challenge

You are opening a new car dealership in Waterloo Region for Tata Motors, India's largest automobile manufacturer. Please watch the video (link) below:

https://youtu.be/FdHdMAF4Q88

"India's most-anticipated SUV concept - H5X that is derived from a legendary pedigree, is officially named as the Tata Harrier. First product to sport the IMPACT Design 2.0 Philosophy, the Tata Harrier stands out with its striking exteriors and intelligently designed interiors. The SUV is coming to you in early 2019."

Source: Tata Motors Group, July 12, 2018 (https://www.youtube.com/user/TataMotorsGroup).

The company wants to make a big splash with the launch of the Tata Harrier in the Canadian market and you are asked: What pricing approaches for selecting an approximate price level should Tata Motors use in the Waterloo market?

Here are your guidelines:

1.First select and explain the main reason behind your choice of ONE of the following three strategies: Price Skimming, or Penetration Pricing, or Competitive Pricing.

2.Secondly, suggest at least one more pricing strategy that will go along with your first choice - such as odd-even pricing, target pricing, prestige pricing, value pricing, bundle pricing, cost-plus, customary, etc. (figure 9.2 in text).Be sure to briefly explain why (Note: the suggested price strategy should align with your first strategic choice).