All of the Following Are Part of the Physical Surroundings

question 227

Multiple Choice

All of the following are part of the physical surroundings of a retail store that can influence how purchase decisions except which?

• A) decor
• B) crowding
• C) lighting
• D) music
• E) time of day

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Definitions:

Flexible Prices

Product prices that freely move upward or downward when product demand or supply changes.

Product Demand

The desire and willingness to purchase a specific good or service in the market.

Monopolistic Competition

A market structure where many firms sell products that are similar but not identical, allowing for some degree of market power and product differentiation.

Homogeneous Oligopoly

A market structure in which a few companies sell products that are identical or very similar, leading to high levels of competition on price rather than product differentiation.