FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 14: Small Business Marketing: Price and Promotion

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 71

True/False

Review LaterAdd Note

Review Later

Jewelry, perfume, beer, and law firm services all use prestige pricing as a pricing strategy.

Correct Answer

verified

Show Answer

Question 72

Multiple Choice

Review LaterAdd Note

Review Later

Products for which customers are price sensitive are said to be

A) Price elastic
B) Price inelastic
C) Price volatile
D) Price subjective

Correct Answer

verified

Show Answer

Question 73

Essay

Review LaterAdd Note

Explain the three primary considerations in setting the price for a product.

Use the following to answer questions: Scenario 14-2. Benjamin has been running his kennel service for one year. So far, business has been good and all expenses have been met each month, leaving a small profit. He has a large building capable of handling a total of 35 dogs. Each pen has fresh water supplied through pipes, an automated feeder, and a heating/cooling unit that keeps each pen at a comfortable 68 degrees. Benjamin rents each pen at a price of $30 per day. His total fixed costs each month are $500. Average variable costs are $12. -In Scenario 14-2 above, if Benjamin's fixed costs were to rise to $600 per month while all other variables remained the same, what would Benjamin's new breakeven point be?

__________ is any activity that stimulates sales and is not strictly advertising or personal selling.

Open charge accounts can hinder the cash flow of a business and eventually cause the business to fail.

Using coded or dated coupons can let the researcher compare different media. This is known as

People purchase premium products despite the higher costs because

When considering a product, consumers typically look for the cheapest product available.

At Marco's Men's Store, all ties are priced at one of three different price points: $16.95, $24.95, and $33.95. This is an example of what type of pricing tactic?

The value of a product depends on the benefits received compared to the ________.

To measure the effectiveness of advertising, companies may choose to code two different ads to see which produces a greater response, a technique that is referred to as split advertising.

When used with advertising and personal selling, __________ can give a short-term boost to sales.

Costs like rent, property taxes, and utilities are generally

Home electronics are often introduced using a skimming pricing strategy.

The "right" price, as determined by the small business owner, is a range between what the market will bear and what the product

Setting the price of a product in a way that will alter its perception to customers is known as

Creating goodwill rather than making immediate sales is known as

Sales commissions, materials, and labor tend to be fixed costs.

In the Creating Competitive Advantage box titled "Guppy in a Shark Tank," which of the following is not one of the suggestions for making trade shows successful for small businesses?