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Toyota introduced a new mid-sized SUV, which it priced at $30,000. However, many customers did not want to buy this new model because many competitors were offering a similar car for $27,000. Therefore, Toyota informed its prospective customers that in addition to the equivalent cost of the car, they were also receiving services above that of the competition. Toyota's car care service is valued at $4,000 and the extended warranty is valued at $2,000. Therefore, when buying the Toyota SUV for $30,000, the customers are actually receiving a discount of $3,000. This technique is known as
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Toyota introduced a new mid-sized SUV, which it priced at $30,000. However, many customers did not w...
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