After Products and Marketing Programs Have Been Developed for New

question 83

Essay

After products and marketing programs have been developed for new products,they are usually tested in the marketplace.What is test marketing? How might a company benefit from the use of test marketing? How can test marketing cause problems for a company?

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Definitions:

Wage Rate

The amount of compensation a worker receives per unit of time or per task performed, often expressed as an hourly rate or salary.

Marginal Revenue Product

The additional revenue generated from the use of one more unit of a factor of production.

Wage Rate

The amount of compensation a worker receives per unit of time or per unit of output.

Total Product

The total output or quantity of goods and services produced by a firm or industry within a specific period.