A Research Firm Has Conducted Marketing Research on the Market

question 36

Multiple Choice

A research firm has conducted marketing research on the market for metal roofing for homes.The research firm has determined there are thousands of homeowners who want the durability provided by metal roofs.These homeowners are generally married and between 25 and 54 years of age.They tend to live in suburban neighborhoods and most subscribe to lifestyle magazines.If you were interpreting these results,you might suggest that the research firm:

• A) conduct additional research because it has no idea about the measurability of its segments
• B) examine the research report again to see if it can determine segment accessibility
• C) conduct a follow-up analysis to determine if the segments it might choose would respond differently from other segments to its marketing strategy
• D) not segment the concrete siding market because the only market for siding is contractors who build the homes
• E) segment the concrete siding market based on the information provided and concentrate its efforts on suburban homeowners between 25 and 54 who read lifestyle magazines

Understand the conditions under which firms will enter or exit an industry based on economic profits.

Determine the effects of variable resource additions to fixed resources on production and cost.

Analyze the relationship between total product, marginal product, and average product in the context of production.

Understand the concept of opportunity costs and their relevance in calculating economic profits.

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Definitions:

Airline Ticket

An airline ticket is a document, typically electronic, that confirms a passenger’s reservation on a flight and includes details such as flight number, date, and seat assignment.

Savings

Money that is set aside or deposited, typically in a bank account, for future use or as a precaution against emergencies.

Interest Rate

The percentage of the principal that is paid as a fee over a certain period of time for the use of borrowed money.

Future Amount

The predicted amount of money that an investment will grow to over a period of time, considering factors like interest rates and compounding.