Which of the Following Components of a Method (Formula) That

question 137

Multiple Choice

Which of the following components of a method (formula) that can analyze market share movements represents the size of the average customer purchase from the company?

• A) customer selectivity
• B) customer penetration
• C) competitor loyalty
• D) customer loyalty
• E) price selectivity

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Definitions:

Law of Diminishing Marginal Utility

The economic principle that states as a person increases consumption of a product, there is a decline in the marginal utility that person derives from consuming each additional unit of that product.

Total Utility

The total satisfaction or benefit derived from consuming a particular quantity of goods or services.

Law of Diminishing Marginal Utility

An economic principle that states the additional satisfaction a consumer gets from purchasing one more unit of a product will lessen with each additional unit purchased.

Marginal Utility

The additional satisfaction or utility that a consumer derives from consuming one more unit of a good or service.