To Successfully Implement Direct-Marketing Programs, a Company Must

question 53

Multiple Choice

To successfully implement direct-marketing programs, a company must:

• A)concentrate on market diversification to expand its customer base.
• B)conduct a competitor analysis to assess the strengths and weaknesses of its competitors.
• C)determine which markets to target through the use of a list or marketing database.
• D)use unconventional techniques such as guerrilla marketing to attract customers.
• E)engage in extensive bait-and-switch marketing.

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Definitions:

Price Level

The average of the current prices of all goods and services in an economy, often compared to a base year's prices to assess inflation.

Aggregate Expenditure

The total spending on final goods and services in an economy, including consumption, investment, government spending, and net exports.

Marginal Propensity

The tendency of an individual or household to spend an extra unit of currency, reflecting the change in consumption from a change in income.

Unplanned Inventory

Excess goods that businesses unintentionally accumulate due to lower-than-expected demand, leading to potential adjustments in production or pricing strategies.