Justin Franklin's Company Is Interested in Locating Areas Where the Average

question 25

Multiple Choice

Justin Franklin's company is interested in locating areas where the average income is high, the average age range is 25-35 years, and the lifestyles of the people involve extreme adventures and dangerous leisure activities. His company would most likely find possible markets through

• A)U.S. Census Bureau information.
• B)geographic segmentation variables.
• C)geodemographic segmentation.
• D)climate information.
• E)psychographic segmentation.

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Definitions:

Profit-Maximizing

The manner in which a company ascertains the ideal pricing and production scale to ensure peak profit.

Firm

A business organization, such as a corporation or partnership, which sells goods or services in exchange for money.

AFC

Average Fixed Cost, the fixed costs of production divided by the quantity of output produced.

Variable Costs

Costs that change in proportion to the good or service that a business produces, such as materials and labor.