Analysis Has Shown That Ingredients Account for Less Than 5

question 139

Multiple Choice

Analysis has shown that ingredients account for less than 5 percent of a perfume's cost. So if a perfume costs $135 or more per ounce, it reflects the marketer's adoption of a pricing objective that focuses on:

• A) expanding market share.
• B) creating image or prestige.
• C) meeting competitors' prices.
• D) maximizing sales.

---

Definitions:

Holding Costs

Expenses related to storing unsold goods or materials, including warehousing, insurance, and deterioration, a component of carrying costs.

Overtime

Additional time worked beyond the standard hours, often compensated at a higher pay rate.

Workforce Expansion

The process of increasing the number of employees within an organization to meet business needs.

LEAN

A systematic approach to minimizing waste within a manufacturing system without sacrificing productivity.