Which Statement Describes One Benefit of Low Foreign Wages

question 102

Multiple Choice

Which statement describes one benefit of low foreign wages?

• A) Domestic jobs are destroyed.
• B) Many domestic workers must be retrained.
• C) Domestic consumers pay lower prices.
• D) Domestic firms that compete with the imports lose profit.

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Definitions:

Price Lining

A pricing strategy that involves offering products at several different price points to provide options for different customer segments.

Price Lining

A pricing strategy that sets a limited number of prices for a specific category of products, thereby simplifying the choices available to consumers.

Demand-oriented

A pricing strategy where the price is set based on consumer demand, often adjusting prices in response to market conditions.

Target Pricing

A pricing strategy in which the selling price of a product is determined based on the desired profit margin and market conditions.