1. What should be done if a product is price elastic?
- None of the following
- Reduce the price; demand will increase more than the % change in price
- Maintain the price; demand and prices are proportionate
- Increase the price; demand will be less affected with a change in price
1 of 10
Other questions in this quiz
2. Which of the following can one become confused with meaning repeat purchases?
- Passive purchasing
- When consumers come back for more of the product
- Loyalty card usage
- Consistent use of same supplier
3. What is a benefit of phycological pricing?
- Ethical brand image will entail
- High profit margin levels can be attained
- Improve the chances of consumer loyalty
- Profit increase is guaranteed
4. True or False: the definition of market myopia is the futuristic theory of market failure?
5. What is a risk of adding value?
- Profit margins can fall as a result
- The cost of the good can go over the price
- Decisive measures i.e. pumping air can be unethical and sued for
- Competition may follow suit
Similar Business Studies resources: