A Manufacturer That Uses a Branded Variants Strategy Is Most

question 31

Multiple Choice

A manufacturer that uses a branded variants strategy is most likely trying to ________.

• A) minimize the transaction costs associated with branded service outputs
• B) offer downstream channel members near exclusivity of the brand
• C) encourage downstream channel members to carry new brands
• D) reduce turnover among downstream channel members
• E) alter brand equity among key end users

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Definitions:

Price Ceiling

A government-imposed limit on how high a price is charged for a product, meant to protect consumers from conditions that could make commodities prohibitively expensive.

Shortage

A market condition where the demand for a product exceeds its supply at a particular price.

Surplus

is a situation in which the quantity of a good or service available exceeds the quantity demanded at the current price.

Price Ceiling

A government-imposed limit on how high a price can be charged on a product or service, intended to protect consumers.