cannibalization occurs when sales of one product by a firm reduce sales of another product by the same firm

cost-plus pricing setting price according to a markup on average costs

customizing setting price according to an individual's willingness and ability to purchase an item






full-cost pricing pricing based on total costs






limit price the price above which new firms will enter






meet-the-competition clause a low-price guarantee--matching any other firm's price

mixed bundling occurs when a firms sells two or more products individually and also sells the products as one product

most-favored-customer clause a firm guarantees that its customers will obtain the lowest price offered by the firm






peak-load pricing prices differ depending on amount of demand--higher when demand is higher

perfect price discrimination each consumer pays exactly what each is willing and able to pay for a good or service

personalized pricing pricing determined according to each individual's willingness and ability to pay

predatory price a price low enough to drive competitors out of business

product-line extension adding an attribute or component to an existing product

pure bundling offering two products for sale only in combination






second-degree price discrimination when the firm is able to group multiple units of the good and charge different prices for the different groups






third-degree price discrimination groups of customers pay a different price for the same product

tying selling on product by offering it for sale in combination with another product






value pricing standard economic pricing where MR = MC but the name value is attached to make it seem as if the customer is gaining something additional