The Consumer-Oriented Approach to Marketing

question 49

Multiple Choice

The consumer-oriented approach to marketing:

• A)is just one more business philosophy.
• B)focuses on "pushing the product".
• C)recognizes first and foremost the need for attaining production efficiency goals.
• D)is the recommended philosophy for all types of businesses.

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Definitions:

Sunk Cost

A sunk cost is a past expense that has already been incurred and cannot be recovered. Businesses cannot alter these costs with future decisions.

Uncontrollable Cost

Expenses that cannot be changed or influenced by the actions of a particular department or manager.

Incremental Cost

The additional cost associated with producing one more unit of a product or service.

Incremental Cost

The additional cost that is incurred if a certain business decision is made or an action is taken.