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Question

__________ model is designed to bring prices down by increasing the number of customers who buy a particular product at once.

This question was previously asked in
UGC NET 2014 Paper 1 Question Paper (28-Dec-2014)
The correct answer is

Demand-Sensitive Pricing

Demand-sensitive pricing (also called group buying or demand aggregation) is an e-business model in which the price of a product falls as more customers agree to buy it at the same time.

Because the seller gets a larger guaranteed order, it can offer a lower per-unit price, so increasing the number of buyers at once brings prices down.

Economic Order Quantity is an inventory formula for the optimal order size, inventory refers to stock held by a firm, and data mining is the discovery of patterns in data; none of these is a buyer-aggregation pricing model.

Hence, the answer is Demand-Sensitive Pricing.

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