Online Firms Like Amazon

question 2

Multiple Choice

Online firms like Amazon.com that take a B2C model approach

• A) emphasize a consumer focus.
• B) try to build long-term relationships with their customers.
• C) try to understand how customers behave online.
• D) are focused on individual buyers.
• E) incorporate all of these answer choices.

---

Definitions:

Loss-leader Pricing

A pricing strategy where a product is sold at a price below its market cost to stimulate sales of more profitable products or services.

Above-market Pricing

A pricing strategy where goods or services are priced higher than the prevailing market rates, often to signal superior quality or prestige.

Price Setter

An entity in the market that has the power to influence or set the prices of goods or services, often due to market dominance.

Demand Factors

Factors that determine consumers’ willingness and ability to pay for products and services.