What Is a Potential Pitfall for Phil of Competing on Price

question 44

Multiple Choice

What is a potential pitfall for Phil of competing on price instead of developing a partnering relationship with car buyers?

• A)A customer who buys only because the car is cheap will switch to another dealer with lower prices for the next purchase.
• B)A customer who wants a car that Phil doesn't have in stock will wait for Phil to order it if the price is correct.
• C)Phil will have to spend less time selling to a customer who buys on price alone.
• D)Phil may not be able to move older models if the prices on those cars have already been discounted.
• E)Phil will have to use a transactional sales technique to sell to customers based on low price.

Identify the primary and secondary emotions and the role of intensity in emotional experiences.

Understand the relationship between cognitive interpretations and physiological responses in the experience of emotions.

Distinguish between innate and learned components of emotional responses.

Analyze the role of personality and other internal factors in predicting happiness.

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Definitions:

Profit

The financial gain achieved when the revenue from business activities exceeds the expenses, costs, and taxes needed to sustain the activity.

Production Function

A mathematical expression that describes the relationship between input factors of production (like labor and capital) and the output of goods or services.

Labor

Labor refers to the human effort, both physical and mental, used in the production of goods and services.

Output

The quantity of goods or services produced in a given time period by a firm, industry, or economy.