Emphasizing the Negative Consequences That May Occur Unless a Consumer

question 19

Multiple Choice

Emphasizing the negative consequences that may occur unless a consumer changes behavior is called ________.

• A) a fear appeal
• B) a rational appeal
• C) social marketing
• D) comparative marketing

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Definitions:

Creditors

People or organizations that provide loans or credit to others with the anticipation of receiving payment back later on.

NPVGO

Net Present Value of Growth Opportunities; a valuation method that calculates the present value of investment opportunities a company is expected to undertake in the future.

Above Average P/E Multiple

A valuation metric indicating that a company's current share price is higher relative to its per-share earnings than the industry or overall market average.

Risk-adjusted Equity Cost

A method of determining the cost of equity capital that incorporates the risk associated with the equity investment.