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What is of Price Bundling?
Price Bundling:
If the products are associated but are non-substitutes that are complementary or independent one strategic alternative for the firm is optional price bundling here the products can be brought independently. Nevertheless a package offered at a much lowered price than the sum of the parts. Since the products are most substitutes this is possible to acquire consumers to buy the package in place of only one product of the lie. Such pricing strategy is common practice. As illustration, into the Automobile and Audiovisual Markets, where packages of options are given along with the purchase of a car or of stereo equipment.
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