Which Statement Describes a Benefit of Advertising

question 41

Multiple Choice

Which statement describes a benefit of advertising?

• A) It has a very low cost per contact.
• B) It facilitates consumer empowerment.
• C) It provides opportunity for immediate feedback from consumers.
• D) It creates a long-term,committed relationship between a salesperson and a customer.

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Definitions:

New Market Entrants

Businesses or individuals that enter a market for the first time, introducing competition and innovation.

Long-Run Profitability

The ability of a firm to generate a consistent profit over an extended period of time.

Brand Names

Names given to a product or service by a company to distinguish it from competitors, often associated with a perceived quality or reputation.

Welfare-Maximizing Output

The level of production in an economy that leads to the highest possible welfare, balancing efficiency and equity among consumers and producers.