In Terms of Its Affect on the Marketing Process, Differentiated

question 13

Multiple Choice

In terms of its affect on the marketing process, differentiated marketing:

• A) significantly decreases manufacturing costs.
• B) reduces inventory costs.
• C) keeps advertising costs low.
• D) lowers total sales, which increases profits by increasing the margin on each sale.
• E) increases administrative and production costs.

---

Definitions:

Margin of Safety

The difference between actual or expected sales and the sales level at which a business breaks even; it measures operational risk.

Unit Sales Price

The amount of money charged for each individual unit of a product or service.