Other questions in this quiz

2. What should be done if a product is price elastic?

  • Reduce the price; demand will increase more than the % change in price
  • None of the following
  • Increase the price; demand will be less affected with a change in price
  • Maintain the price; demand and prices are proportionate

3. What is a risk of adding value?

  • Competition may follow suit
  • Decisive measures i.e. pumping air can be unethical and sued for
  • The cost of the good can go over the price
  • Profit margins can fall as a result

4. What is a benefit of phycological pricing?

  • Profit increase is guaranteed
  • Improve the chances of consumer loyalty
  • High profit margin levels can be attained
  • Ethical brand image will entail

5. What is the definition of demand?

  • None of the following
  • The level of consumer interest in purchasing a product or service
  • The level of consumer interest in purchasing a product
  • The strength of which a product or service is wanted


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