Which of the Following Is Most Likely a Risk Associated

question 96

Multiple Choice

Which of the following is most likely a risk associated with experience-curve pricing?

• A) High-volume production facilities are unable to meet demand.
• B) New technology often leads to productivity problems.
• C) Demand for the product fluctuates unpredictably.
• D) Consumers tend to prefer new brands over established ones.
• E) Aggressive pricing often gives a product a cheap image.

---

Definitions:

Authoritarian

A governing system or leadership style characterized by strong central power and limited political freedoms.

Democratic

Pertaining to a system of government by the whole population or all the eligible members of a state, typically through elected representatives.

Laissez-faire

An economic principle advocating minimal governmental interference in the free market and the economic affairs of individuals.

Bureaucratic Innovations

New methods, policies, or practices implemented within bureaucratic structures to improve efficiency, responsiveness, or outcomes in organizational or governmental operations.