Question

Making Inferences: A local supermarket decides to sell a premium brand of meats and cheeses

Answer 1

a.) Price is serving as an incentive to the supermarket due to the fact that the higher prices of the products made the supermarket to enter the premium market.

b.) The kind of signals that the supermarket is sending with this kind of strategy is that their premium brand is of a higher status than the store brand.

With the display being more about the premium brand, consumers are going to be attracted and consider it a better product.

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