Which of the following statements about approaches to pricing is correct?

Which of the following statements about approaches to pricing is correct?
A . Price skimming involves setting a low price on initial entry to a market.
B . Cost-plus pricing contracts take account of anticipated demand for the product.
C . Penetration pricing is appropriate when there are similar competing products.
D . Penetration pricing involves setting a high price on initial entry to a market.

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Answer: C