Marketers at Organizations Engaged in Nonprice Competition

question 11

Multiple Choice

Marketers at organizations engaged in nonprice competition

• A) are more concerned about knowing competitors' prices than are marketers in organizations that are engaged in price competition.
• B) are not concerned about the prices of competing brands.
• C) need competitive price information to make sure that their products are priced at approximately the same level as the prices of competing brands.
• D) rely on customers to help them gather information regarding the prices of competing brands.
• E) experience high levels of price instability.

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Definitions:

Marginal Revenue

The additional revenue that a firm earns by selling one more unit of a good or service.

Perfectly Elastic

A situation in economics where the quantity demanded or supplied changes infinitely with any change in price.

Perfect Mobility

An economic condition where factors of production such as labor and capital can be easily moved across industries or geographies without costs or barriers.

Perfect Knowledge

A hypothetical situation in which all parties in the market have complete and absolute information about the market conditions and variables.