Businesses Adopt and Identify Target Markets for Their Products To

question 21

Multiple Choice

Businesses adopt and identify target markets for their products to:

• A) coerce people into buying products they do not need.
• B) maximize the impact of the cost of marketing.
• C) adopt consumer-friendly pricing strategies such as price skimming for new products.
• D) collect information from the external marketing environment.

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Definitions:

Units of Output

The quantity of goods or services produced by a company, industry, or economy within a specific period.

Marginal Revenues

The extra earnings accrued by selling an additional unit of a good or service.

Purely Competitive Firm

A company operating in a market with many buyers and sellers, where no single entity can influence the price of its product.

Total Revenues

The overall revenue a business secures from its goods or service transactions, before removing any spending.