Author a Accepts a $5,000 Advance from a Publisher and a 10

question 54

Multiple Choice

Author A accepts a $5,000 advance from a publisher and a 10% royalty after 5,000 books are sold. Author B foregoes the publisher's advance and negotiates for a 15% royalty on all books sold. Author C decides to self-publish his book and keep 100% of all sales revenue. Which of these authors expects to sell the fewest books?

• A)Author A
• B)Author B
• C)Author C
• D)They are all equally likely.

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Definitions:

C2C

Customer to Customer, a business model where customers trade with each other, typically facilitated by a third-party platform.

Creating Value

Refers to the process of enhancing or adding features to a product or service to increase its perceived worth to consumers or stakeholders.

Marketing Mix

The combination of factors that can be controlled by a company to influence consumers to purchase its products, typically summarized as product, price, place, and promotion.

Advertising Campaign

A series of coordinated advertisements with a unified theme or message, aimed at promoting a product, service, or brand.