A Business Advantage of the Concentrated Targeting Strategy for Any

question 19

Multiple Choice

A business advantage of the concentrated targeting strategy for any company is that it:

• A)requires less market research and information.
• B)requires less intensive analysis of customers' characteristics and needs.
• C)allows a firm to use all of its production capacity.
• D)maintains the firm's flexibility in moving into other market segments.
• E)allows a firm to develop a special marketing mix for a single market segment.

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Definitions:

FICA Taxes

Taxes collected under the Federal Insurance Contributions Act that fund Social Security and Medicare programs.

Regressive

Pertaining to a tax system in which the tax rate decreases as the taxable amount increases, commonly considered less fair because it imposes a heavier burden relative to income on those with less.

Progressive

Pertaining to a taxation system in which the tax rate increases as the taxable amount increases, imposing a higher percentage rate on the wealthy to ensure equity.

Consumption Tax

A tax on the purchase of goods or services, levied at the point of sale, designed to tax spending rather than income or savings.