Table 17-8 For a Certain Small Town, the Table Shows the Demand

question 152

Multiple Choice

Table 17-8
For a certain small town, the table shows the demand schedule for water. Assume the marginal cost of supplying water is constant at $4 per bottle and there are no other costs.
-Refer to Table 17-8. If there were only one supplier of water, what would be the price and quantity?

• A)The price would be $7 per gallon and the quantity would be 600 gallons.
• B)The price would be $6 per gallon and the quantity would be 800 gallons.
• C)The price would be $5 per gallon and the quantity would be 1000 gallons.
• D)The price would be $4 per gallon and the quantity would be 1200 gallons.

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Definitions:

Segmenting

The process of dividing a larger market into smaller groups or segments with similar needs, characteristics, or behavior, to target marketing efforts more effectively.

Repositioning

The process of changing the market's perception of a product or brand over time to target a new segment or market.

International Market Segmentation

The process of dividing the total market for a good or service into several smaller, internally homogeneous groups across different countries or regions.

Challenging Process

A complex or difficult procedure that requires significant effort, resources, or adaptation to achieve a desired outcome.