In Product Modification, Three Conditions Must Be Met to Improve

question 176

Multiple Choice

In product modification, three conditions must be met to improve a firm's product mix: the product must be modifiable, customers must be able to perceive that a modification has been made, and:

• A) the modification should make the product more consistent with customers' desires.
• B) competing companies should not be aware of planned product modifications.
• C) management must avoid functional modifications in the product to evade any risk associated with the safety element of the modified product.
• D) management must essentially enhance the modified product's quality and lower its price to increase its customer base.
• E) resources needed for product modification should be limited in order to lower production costs.

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Definitions:

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