Which of the Following Actions Is Most Likely to Be

question 100

Multiple Choice

Which of the following actions is most likely to be taken by a company in order to implement the value pricing objective?

• A) Distributing free samples of the product to create awareness about the product among the consumers
• B) Convincing consumers that the quality of their lower-priced product is the same as that of a comparatively higher-priced product sold by a competitor
• C) Convincing consumers of the prestige associated with the product
• D) Distributing free gifts along with the product during its introductory stage

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Definitions:

Equity Instrument

A type of financial security that signifies ownership in a company and represents a claim on part of the company's assets and earnings, such as stocks.

Market Participant

An entity or individual with the willingness and ability to buy, sell, or otherwise engage in transactions in a market.

Risk Aversion

The reluctance or avoidance of undertaking investment with uncertain outcomes, preferring outcomes that are more predictable.

Owner-Manager

An individual who both owns a significant part of a company and is actively involved in its management.