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4 years ago

Companies often try to gain more control over pricing by attempting to differentiate their products.

1 answer:

Pie4 years ago

4 0

Of course, in order for the product to be competitive in the market, it should have the same price or lower to the products with same utility, so the verdict of the consumers, depends on how varied the product is compared to its competitors. Thus, it is true that companies often try to gain more control over pricing by attempting to differentiate their products.

You might be interested in

In the product development process, what takes place between concept testing and market testing? securing financial backing cond

Finger [1]

The answer is product development. The formation of products with new or dissimilar features that agreement new or additional welfares to the customer. The product development may include alteration of an current product or its performance or formulation of an completely new product that gratifies a afresh distinct customer want or market place.

5 0

4 years ago

Chrzan, Inc., manufactures and sells two products: Product E0 and Product N0. Data concerning the expected production of each pr

Trava [24]

Answer:

A. $59.78 per MH

Explanation:

The computation of activity rate for the Order Size activity cost pool under activity-based costing is shown below:-

Activity rate for the Order Size activity cost pool = Activity pool cost ÷ Total expected activity

= $579,866 ÷ 9,700

= $59.78 per MH

Therefore for computing the activity rate for the Order Size activity cost we simply applied the above formula and ignore all other value as the other values are not relevant.

7 0

4 years ago

QUESTION 5 A and B are substitute goods, but A and C are complementary goods. If the cost of producing A decreases, then the dem

goldenfox [79]

Answer:

The correct answer is letter "D": B will decrease and the demand for C will increase.

Explanation:

Substitute goods are those whose quantity demanded are inversely proportional. It implies if the quantity demand for one product increases, the quantity demanded for its substitutes will decrease and vice versa.

Complementary goods' quantities demanded have a directly proportional direction. Thus, if the quantity demanded for one product increases, the quantity demanded for its complementary goods increase as well.

So, <em>the cost of producing good A will bring its prices down causing the quantity demanded for A to increase -demand law. Substitute good B will see its quantity demanded dwindled while complementary good C will see its quantity demanded increased.</em>

6 0

3 years ago

What is the importance of the West Bank to the Middle East?

denpristay [2]

The answer is c. Israel won the West Bank in the 1967 War. As a result of this, many people were taken out of their homes and became refugees. Israel then constructed many settlements for Jews to live in. This move was criticized as Illegal. To this day, Israel still occupies the West Bank.

6 0

4 years ago

Interest-rate increases have a __________ impact on the residential home construction industry and a __________ effect on indust

Alex73 [517]

Answer:

B. Negative, Negligible

Explanation:

Interest Rate is negatively related to Investment. Higher Interest Rate increases cost of investment, lower interest rate reduces cost of investment.

However, Investment in a particular sector/ industry is also defined by: Concentration of that sector in entire investment outlay & Income Elasticity of the sector's commodity demand. Implicatively, a sector with huge concentration of investment outlay & products with high income elasticity will have more Interest rate sensitive Investment and vice versa.

Construction Industry being very capital intensive has higher investment magnitude & also more Income Elastic demand. So, impact of higher interest rate will impact this industry more.

Necessity goods Industries are less capital intensive , investment concentrated & also have less Income Elastic Demand. So, impact of higher interest rate will impact this industry less.

<em>(Demand's Income Elasticity is the responsiveness of a good's demand to change in Income. It is more in luxurious goods, less in necessity goods)</em>

7 0

3 years ago