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Reptile [31]
3 years ago
14

To gain market share, when hyundai first entered the u.s. car market it did so with a comparatively low pricing strategy. one of

the negative side effects of making this pricing decision is
a. difficulty raising the prices later.

b. higher developmental costs.

c. poor survival chances.

d. a negative impact on consumers' perceptions of quality.

e. a high return on investment level affecting tax balances owed.
Business
1 answer:
artcher [175]3 years ago
6 0
One of the negative effects of making this pricing decision is that it will brings about a negative impact on consumers' perception of quality. Generally, consumers believe that a lower price for a particular commodity means a lower quality, people tend to associate higher prices with high qualities.
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CORRECT ANSWERS ONLY!
sasho [114]

Answer:

1. False

2. True

3. False

4. False

Explanation:

1. Associate degree

2. A masters in business administration would be an asset to someone wanting to run a business

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3 years ago
Neoclassical Model of Investment" (1 point): In class, we discussed the idea of net investment, and how it could change in respo
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Answer:

Take Note that the model has following relationship between investment and factors that affect it

Int = F(Ye, it, d, πe, tc, Kt-1)

Net investment is a function of

Expected output (Ye),

Rental or user cost of capital (such as nominal interest rate it),

Expected inflation (πe),

Corporate tax/ investment tax credit,

Existing stock of capital

For a given stock of capital,

A rise in expected output (Ye), increases investment

A rise in expected inflation (πe) increases investment

A rise in the investment tax credit increases investment.

A rise in nominal/real rate of interest decreases investment

A rise in corporate income tax decreases net investment

(a) Anti-inflationary monetary policy raises the real interest rate (r ↑). As mentioned, it will depress net investment as firms have to pay a higher rate of interest on the investment made. Such policy increases rental cost of capital and it will decrease the desired capital stock.

b) An earthquake destroys part of the capital stock (K ↓). This will reduce net investment, increases rental cost of capital and it will decrease the desired capital stock.

(c) Immigration of foreign workers increases the size of the labor force (L ↑). With more workers to share the capital stock, marginal producivity of capital rises and so net investment increases. This decreases rental cost of capital and it will increase the desired capital stock.

(d) Advances in computer technology make production more efficient (A ). This causes the net investment to increase as the marginal productivity of capital will increase. This decreases rental cost of capital and it will increase the desired capital stock.

Explanation:

6 0
3 years ago
Limerick, Inc. has budgeted total sales for January, February, and March of $800,000, $900,000, and $950,000 respectively. Cash
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Answer:

$905,000

Explanation:

February Collection will be as follows :

<em>February Collection = Cash Sales + Credit Sales </em>

                                  =  $900,000 x 25 % + $900,000 x 40 % + $800,000 x 60 %

                                  = $905,000

the amount of cash received from sales during the month of February is $905,000.

7 0
3 years ago
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ABC Ltd (ABC) engaged the accounting firm of Ace &amp; King to perform its annual audit. Ace amp; King performed the audit in a
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Answer:

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In this case, the controller was the person responsible for giving the information to the auditing company, so he had the chance to direct their conclusions. An external auditor is not responsible for what happens inside a firm, and if someone steals money or assets, he/she is responsible for it.

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