From Toys "R" US's website, we have found that they guarantee that their products are priced the lowest and if you can find another same product with a lower price, you are entitled to demand for a refund for the difference in price.
Therefore, we have concluded that they are using a Everyday Low Price (EDLP) strategy as it is a characteristic of a Category Killer.
The reason for using this pricing approach is that it will benefit both the consumers and ultimately the retailer.
The retailer will need to bear lower advertising cost as they do not have to advertise as frequently, since there will not be any promotions.
The customers will also be loyal to them as they are assured of EDLP.
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