In a Free Market, the Price of a Good Is

question 92

Multiple Choice

In a free market, the price of a good is equal to the value of the good:

• A) in its next lowest-valued use.
• B) in its next highest-valued use.
• C) to the highest bidder among those who have satisfied their wants for the good.
• D) given the resources used to produce the good.

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Definitions:

Product Development

The process of bringing a new product to market, involving idea generation, concept testing, design, manufacturing, and marketing.

Market Development

A growth strategy in which a company seeks to expand its existing product into new markets or geographic areas to increase its customer base.

Market Penetration

A gauge of the level of sales or acceptance of a product or service in relation to the complete potential marketplace for it.

Diversification

The strategy of adding varied products, services, or markets to a company's portfolio to spread and reduce risks.