Question

A department store consistently keeps low prices, and this strategy helps the store to attract many customers. This is an example of a strategic:

1) Pricing strategy
2) Marketing strategy
3) Sales strategy
4) Promotional strategy

Answer 1

The department store's approach of maintaining low prices to attract customers is an example of a pricing strategy, which is integral to a firm's wider marketing efforts.

Step-by-step explanation:

When a department store consistently keeps low prices to attract many customers, this is primarily an example of a pricing strategy. This strategy falls under the broader marketing efforts that a company undertakes, which also include various promotional, sales, and marketing strategies, but the key here is how the price is set to appeal to consumers. Large firms like Amazon, and even small businesses such as your local deli, have to consider their production model and cost structure to determine the most effective pricing for their products.