Hallmark was the official supplier of flowers at the last Winter Olympics. It was the first time that it has participated in the Olympics. Hallmark presented each Olympic winner with a special bouquet of roses designed to resemble the Olympic torch. Consumers can buy a smaller version of this same bouquet at the Hallmark website for $74.95. The Olympic bouquet that consumers can buy contains two dozen yellow roses, yet you can buy two dozen yellow roses for less than $35 at most supermarkets. If Hallmark is treating the Olympic bouquet as an innovative product, then it is using which demand-oriented approach to pricing?

skimming pricing

Explanation:

Based on the description provided regarding the scenario it can be said that Hallmark is using a skimming pricing approach. This is a pricing strategy in which the company sets a relatively high initial price for their product/service and goes lowering that price over time. That is what Hallmark is doing by treating their Olympic bouquet as an innovative product and pricing it at a high price initially, they will begin to lower this price as the Winter Olympics come to a close and less people are thinking about it.

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