The First Step in a Purchase Decision According to the Hierarchy

question 83

Multiple Choice

The first step in a purchase decision according to the hierarchy of effects model is:

• A) awareness
• B) liking
• C) preference
• D) conviction

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Definitions:

Cost Per Unit

A measure of the cost incurred in the production, creation, or acquisition of a single unit of a product or service.

Activity Level

A measure of the volume or quantity of production or operations in a business, which can significantly impact costs and budgeting.

Variable Costs

Expenses that fluctuate with the level of output or business activity.

Fixed Manufacturing Overhead

The portion of total manufacturing overhead costs that remains constant regardless of the level of production, such as factory rent or salaries of permanent staff.