What Is the Most Likely Way for Consumers to Benefit

question 28

Multiple Choice

What is the most likely way for consumers to benefit because a firm uses a strategy of one product for multiple market segments?

• A)increased number of choices
• B)lower retail prices because of lower production costs
• C)increased satisfaction of consumer wants and needs
• D)improved service

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Definitions:

Alpha

A performance measure indicating the excess return of an investment relative to the return of a benchmark index or risk-free rate.

Risk-Free Rate

The return on an investment with no risk of financial loss, often represented by government bonds.

Annualized Return

A rate of return that standardizes an investment's earnings to a one-year period, making comparison with other investments easier.

Holding Period

The length of time an investment is held by an investor before being sold.