A Key Difference Between Cause Marketing and an Outright Charitable

question 47

Multiple Choice

A key difference between cause marketing and an outright charitable contribution is:

• A)charitable donations are contributed at the sole discretion of the firm; with cause marketing the amount is directly affected by the consumers' purchases.
• B)a charitable contribution counts as a higher tax deduction.
• C)cause marketing is generally linked to public causes and concerns and straight charitable contributions are generally given to private institutions.
• D)there is no limit to the amount of charitable deductions a firm can make, but a firm is limited to the number of cause marketing efforts made in the course of one year.

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Definitions:

Demand Curve

A graphical representation showing the relationship between the price of a good and the quantity of that good demanded by consumers.

Market Demand Curve

A graph representing the total quantity of a good or service demanded across different prices in a market.

Monopolistic Competition

A market structure characterized by many firms selling products that are similar but not identical, allowing for competition.

Barriers To Entry

Economic, procedural, or regulatory obstacles that prevent or hinder new competitors from easily entering an industry or area of business.