DECA Sports and Entertainment Marketing Practice Exam

What are price lines?

1. A range of discount offers

2. Distinct categories of merchandise based on price, quality, and features

3. Official pricing agreements between companies

4. Special promotional pricing strategies

The correct answer is: Distinct categories of merchandise based on price, quality, and features

Price lines refer to the distinct categories of merchandise that are organized based on various factors such as price levels, quality, and features. This concept is often used in retail and marketing to help customers navigate a range of products and make informed purchasing decisions. By creating clear divisions among products, retailers can effectively target different market segments and consumer preferences, ultimately driving sales and enhancing customer satisfaction. For example, a retailer might categorize products into different price lines, such as budget, mid-range, and premium, allowing customers to easily identify options within their price range while understanding the differences in quality and features associated with each category. This approach also aids businesses in positioning their products strategically within the market landscape. The other options represent different concepts unrelated to the definition of price lines. While discount offers, pricing agreements, and promotional strategies are important in marketing, they do not specifically pertain to the organization of merchandise based on price and quality categorization.