Which of the Following Is NOT a Reason That Accounts

question 41

Multiple Choice

Which of the following is NOT a reason that accounts for why many retailers resist manufacturers' EDLP pricing initiatives? 

• A) EDLP pricing takes some of the excitement out of retailing. 
• B) Some retailers that established distribution infrastructures necessary to practice forward buying have resisted EDLP. 
• C) There is some evidence that EDLP pricing benefits the manufacturers that price their products in this fashion more than it does the retailers that pay EDLP rather than high-low prices. 
• D) a and b only 
• E) a, b, and c

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Definitions:

Time Preference

This concept describes individuals' preference for immediate benefits over future ones, influencing their decisions on saving, investing, and consumption.

Time Preference

An individual's preference for receiving goods or services sooner rather than later.

Capital Goods

Long-term physical assets used in the production of goods or services, such as machinery and buildings.

Current Consumption

The total amount of goods and services consumed at the present time, as opposed to savings for future consumption.