What competitive technique is being used when a business promises to match a lower price provided by a customer?

The technique being employed when a business promises to match a lower price provided by a customer is price matching. This strategy is often used by retailers to encourage customers to choose their store over competitors, even when those competitors offer lower prices. By guaranteeing that they will match a lower price, businesses can foster loyalty among customers who may otherwise be tempted to shop around for the best deal.

Price matching not only helps retain customers but also promotes confidence in the value of the business's offerings. Customers feel assured that they are getting a fair deal, which can lead to increased sales and customer satisfaction. This approach can differentiate a business in a crowded marketplace, as it directly addresses price sensitivity among consumers.

While rebates are incentives that reduce the final purchase price, and discounts are immediate reductions off the listed price, neither specifically guarantees to match a competitor's price. Price fixing, on the other hand, involves collusion among businesses to set prices at a certain level, which is illegal and unethical, thus deviating from the concept of competitive pricing strategies like price matching.