Important information about Pricing strategies According to Cahner’s In Stat Group, the number of wo

Important information about Pricing strategies

According to Cahner’s In Stat Group, the number of worldwide wireless phone subscribers will soon reach 1 billion In the US alone, the number of subscribers is expected to rise by 17 million per year for the next 5 years 

Contributing to the extensive growth are lower prices, larger geographic coverage, prepaid services, and Internet enabled phones While the actual cost of basic wireless phone is about $75, most carriers offer their customers a free phone with a one year service agreement 

Is this pricing strategy rational? Explain