Economists Defend Brand Names as Useful to Consumers Because Brand

question 523

Multiple Choice

Economists defend brand names as useful to consumers because brand names

• A)provide consumers with information about quality when quality cannot easily be judged in advance of purchase.
• B)give firms a financial incentive to maintain the high quality associated with their brand name.
• C)convince consumers to spend more for products nearly identical to generic versions.
• D)Both a and b are correct.

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Definitions:

Myths

Widely held but false beliefs or ideas.

Succession Planning

A strategic process of identifying and preparing suitable employees to replace key roles within an organization in the future.

General Partnerships

A business partnership in which all partners share unlimited personal liability for the debts and obligations of the business and share in the profits and losses according to their agreement.

Real Estate

Property consisting of land and the buildings on it, along with its natural resources such as crops, minerals, or water.