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Nintendo chose a ___________ approach to pricing for a new game console because they felt the market for this product was price sensitive, there are major economies of scale to be achieved, and both sony and microsoft would be introducing new game systems shortly

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LearnGrow
Nintendo chose a penetration approach to pricing for a new game console.The penetration approach means that Nintendo offered a low price for the new product (the console) or service during its initial offering, because they expect that customers will switch to the new brand because of the lower price.
Kalahira
Premium Pricing approach, it is premium pricing because they want to capture the feeling of value for the consumer, the price needs to be high enough that people believe it is a premium product based purely on its price, but low enough to ensure people will actually buy it.

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