Scenario 3.2 Use the Following to Answer the Questions

question 32

Multiple Choice

Scenario 3.2
Use the following to answer the questions.
Clayton Homes,a mobile home manufacturer since 1934,introduced its new iHome in 2009.The iHome is one of the first of its kind,designed as an updated,modern version of the modular home,offered as a base home plus add-ons known as "pods." The base home is a one-bedroom,one-bath 734-square foot version at a price of around $80,000.There is also a 1,000 square-foot version for around $100,000.All versions may add on the additional one-room pods as desired which are shipped to your location and constructed on-site.The homes offer galvanized metal roofing,corrugated steel siding,VOC-free paints,and a "butterfly" roof that collects rainwater.The iHome uses 30% less energy than a similar square-foot home and offers "green" characteristics of solar panels,tankless water heaters,and low-flow faucets.In addition,it comes with bamboo flooring,a renewable resource.The modular,pre-fabricated design offers endless options for creating the customer's home and its engineered building system cuts down on construction waste.Due to the "green effects" of the iHome,the state governments have given it a tax abatement for any sales taxes.
-Refer to Scenario 3.2.Clayton Homes is revising its marketing strategy for the iHome due to the current recession.Which of the following is the best action for promoting the iHome in the near future?

• A)Emphasize the value of the iHome products.
• B)Focus on the "green" qualities of the home and target environmentally-conscious individuals.
• C)Significantly reduce advertising expenditures to create an exclusive image.
• D)Decrease production until the economy improves.
• E)Significantly reduce the prices on the company's product offerings.

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Definitions:

Low Expenses

Refers to minimized operating costs or outlays necessary for an entity to conduct its business activities.

Resource Maturity

The stage of development at which resources, such as technology or human skills, reach their highest potential of efficiency and effectiveness.

Survival

The ability of an entity, such as a business or organism, to continue living or operating despite challenging conditions or threats.

Success

The accomplishment of an aim or purpose, often measured by specific criteria in various contexts such as personal goals, business achievements, or academic performance.