Answer:
see explaination
Explanation:
1. A low-quality producer will not provide any warranty, because he knows there will be more warranty claims.
He will choose option B.
Example:
Option B:
Toaster sell 100
Price $10
Sales = $1000
Profit = $100 (let's say it costs him $9 to make it).
Toaster sell 35 (as 5 times high price).
Price $49
Sales = $1725
Warranty Expense (let's say, due to multiple times claims) = $1500
Profit = -$90 (let's say it costs him $9 to make it).
2. A high-quality producer will provide any warranty because he knows there will be very very few warranty claims.
He will choose option B.
3. Yes, the act of offering free warranty will go a long way in conveying a positive signal to customers that the brand is providing quality product & it trusts its product.
Answer:
Switching cost
Explanation:
Switching cost may be defined as the amount which is related to the consumer for the purpose of changing the supplier to the another one. So, the greater the cost of switching, the more will be hard or costly the switch will be.
Therefore according to the above explanation, the correct answer is Switching cost.
Answer:
A decrease in the price of domestically produced industrial robots will be reflected in the GDP deflator but not in the consumer price index.
<u>Explanation:</u>
Although from the outset, CPI and GDP Deflator might measure something very similar, there are a couple of key contrasts. The first is that GDP Deflator incorporates just local merchandise and nothing that is imported. This is diverse because the CPI includes anything purchased by buyers, including remote merchandise.
The subsequent contrast is that the GDP Deflator is a proportion of the costs all things considered and benefits while the CPI is a proportion of just merchandise purchased by shoppers.
Savings account is what would go in the blank.
