A fast food outlet advertises a large soft drink for only 20 cents, knowing that customers will also buy additional items from the menu once they are in the store - HSC - SSCE Business Studies - Question 17 - 2012 - Paper 1

The strategy described is known as a loss leader pricing strategy. This approach involves selling a product, such as the large soft drink for a significantly low price (in this case, 20 cents) to attract customers to the store.

The idea behind this strategy is that while the business incurs a loss on the sale of the low-priced item, it expects to make up for it by selling other, more profitable items once customers are in the store. In essence, the low-priced item serves as bait to draw in customers, increasing the likelihood of additional purchases.