Which of the Following Statements Is True of the Issues

question 49

Multiple Choice

Which of the following statements is true of the issues that affect consumer judgments?

• A) Brand names do not have a significant impact on consumer judgments.
• B) Brand names are stronger signals of quality than is price.
• C) Brand inertia is often used by consumers as a signal of quality.
• D) Unexpected brand names usually lead to decreased product preference.

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Definitions:

Opportunities

Circumstances that present chances for progress, growth, or advancement in personal or professional contexts.

Franchise

A business model that allows individuals or entities to operate a branch of a larger company, using its brand, systems, and support in exchange for fees or royalties.

Entirely New Firm

A start-up or business entity that has been freshly established, having no prior existence.

Two-Income Households

Households in which two adults generate income through employment, contributing to the family's total earnings.