Safe Auto Insurance Advertises "Minimum Coverage for Minimum Budgets" for Its

question 155

Multiple Choice

Safe Auto Insurance advertises "minimum coverage for minimum budgets" for its automobile insurance. Which of the following best describes Safe Auto's approach?

• A) Customers often use price as an indicator of quality, and Safe wants to be seen as a low-quality provider.
• B) This type of advertising makes insurance more tangible to the customer.
• C) Safe wants to reassure customers that they provide the highest level of service quality available.
• D) Because market conditions limit prices on auto insurance, Safe uses this approach to gain customers.
• E) For some services, customers look for the low-cost provider, which is what Safe claims to be.

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Definitions:

Continuous Metric

A measurement scale that allows for an infinite number of values within a given range, indicating continuous variation.

Time

The indefinite continued progress of existence and events in the past, present, and future regarded as a whole.

Volume

The quantity of three-dimensional space enclosed by a closed surface or the amount of space that a substance or object occupies.

Financial and Market

Related to the economic activities and conditions that affect investment, trading, and valuation decisions in markets.