Consumers Who Score More Highly on Susceptibility to Normative Influence

question 44

True/False

Consumers who score more highly on susceptibility to normative influence tend to be more influenced by ads that include testimonials.

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Definitions:

Rights Offering

An issue of rights to existing shareholders allowing them to buy additional shares directly from the company at a discount before a public offering.

Seasoned Issue

A new offering of stock to the public from a company that has previously issued securities to the public.

Indirect Costs

Costs that are not directly tied to a specific project or product, such as administration, personnel and security costs.

Direct Costs

Expenses that can be directly linked to the production of a specific good or service, such as raw materials and labor.