Answer:
Explanation:
ADVANTAGES
For the consumer, EDLP simplifies decision making and search costs. For the company, EDLP minimizes marketing costs, staff efforts, and helps with demand forecasting. A high-low pricing strategy offers greater profitability than EDLP.
DISADVANTAGES
The constant struggle to make up for lower prices by selling higher volumes can strain your operation.
*Price Wars. ...
*Poor Vendor Relations. ...
*Reduced Profit Margins. ...
*Perception of Poor Quality. ...
*Inability to Have Sales.
