Which of the Following Would Be an Example of a Constraint

question 122

Multiple Choice

Which of the following would be an example of a constraint in Step 1 of the price-setting process?

• A) We can rely on our reputation for our other products in the line.
• B) We expect to make a profit of $1.2 million.
• C) We need to make allowances for large quantity orders.
• D) We should increase the price during the holiday shopping season.
• E) We're going to face some aggressive competition.

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Definitions:

Counterseasonal Demand

Demand for products or services that occurs during opposite or different seasons than the peak season.

Manipulation

The act of handling, controlling, or using something in a skillful manner, often with a negative connotation of unfair or deceitful control.

Product Demand

The total quantity of a product or service that consumers are willing and able to purchase at various prices during a specified time period.

Counterseasonal Products

Products whose demand peaks in the opposite season of their primary market or usage period.