Which of the Following Statements Is True of Growing Industries

question 53

Multiple Choice

Which of the following statements is true of growing industries?

• A) Innovators and early adopters have the same customer needs as the early majority.
• B) Innovators and early adopters are typically reached through specialized distribution channels.
• C) Reaching the early majority rarely requires advertising and is usually achieved through word of mouth.
• D) Companies serving innovators need to have large-scale mass production and very low prices.
• E) Companies competing in an embryonic market typically pay more attention to increasing the reliability of a product than to its performance.

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Definitions:

Equilibrium Price

The price at which the quantity of a good or service supplied is equal to the quantity demanded.

Surplus

An excess amount of something, especially in the context of production and supply exceeding demand in economics, leading to a situation where the quantity supplied is greater than the quantity demanded.

Nonprice Rationing

Methods of allocating goods and services without adjusting prices, often used in times of shortages, such as queuing or allocating based on need.

Queuing

The process or system by which people or items are arranged in a line awaiting their turn to be attended to or processed.