To Analyze the Market to See Whether You Should Go

question 158

Multiple Choice

To analyze the market to see whether you should go forward with the development of a new product, you should answer all of the following questions except:

• A)why will customers buy the product from me
• B)who would my customers be
• C)Is this product something I want to sell
• D)How will customers benefit from my product

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Definitions:

Marginal Benefit

The extra utility or satisfaction obtained through the consumption of an additional unit of a good or service.

Pollution Abatement

Actions or measures taken to reduce, control, or eliminate pollution from various sources.

Producer Surplus

The difference between the actual price a producer receives (or producers receive) and the minimum acceptable price; the triangular area above the supply curve and below the market price.

Supply Curve

A graphical representation showing the relationship between the price of a good and the quantity of the good that suppliers are willing to sell.