Leroy Owns a Small Hardware Store That Is Known for Its

question 46

Multiple Choice

Leroy owns a small hardware store that is known for its high level of customer service.A large chain home improvement store has just opened up in his community.Which of the following would BEST help Leroy deal with his new competitor?

• A) Pay his employees "under the table" to avoid costly payroll taxes and keep prices lower.
• B) Close the business, since small stores cannot compete effectively with chain stores.
• C) Advertise aggressively to increase consumer awareness of his reputation for service.
• D) Move his store in order to be farther away from the large store.
• E) Raise their prices, to show that their customer service is worth paying a premium for.

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