Question

Though confusing to customers, U.S. Cellular priced its bundles very similar to its competitor's prices. Which competitor-oriented pricing strategy did U.S. Cellular use in this example?

Answer 1

Answer:

The pricing strategy used by U.S. cellular is called the "Competitive-parity method".

Explanation:

In using the competitive-parity method, a firm sets prices for its products or activities in line with how competitors are pricing similar products or activities.

It is a defensive strategy that a firm uses to avoid overspending and attain, at least, the same level of performance as a competitor.