What Is a Major Distinction Between Customers Who Purchase a Product

question 60

Multiple Choice

What is a major distinction between customers who purchase a product because they are brand loyal and those who purchase by inertia?

• A) The cost of the product
• B) The social risk of the product
• C) Whether the purchase is made after a compensatory or noncompensatory decision process
• D) Whether the customers hold a very positive or weak attitude toward the product

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Definitions:

Direct Materials

Materials that become an integral part of a finished product and whose costs can be conveniently traced to it.

Final, Delivered Cost

The comprehensive cost of a good or service including its production, logistics, and any other costs until its delivery to the final consumer.

Standard Labor Rate

The predetermined cost of labor per hour used to estimate the total labor costs of a production process or project.

Employment Taxes

Taxes imposed on employers and employees, typically including payroll taxes for social security and Medicare.