Brand Name Aspirin Is Chemically Identical to Store Brand Aspirin

question 306

Multiple Choice

Brand name aspirin is chemically identical to store brand aspirin. Yet, consumers often prefer the brand name product to the store brand product. This preference is an example of

• A) product differentiation.
• B) perfect product competition.
• C) oligopolistic product competition.
• D) price taking behavior.

---

Definitions:

Pepsi

A global beverage and food company known primarily for its flagship product, a carbonated soft drink called Pepsi.

Infrastructure

The basic physical and organizational structures and facilities needed for the operation of a society or enterprise, such as roads, buildings, and power supplies.

CVP

Stands for Cost-Volume-Profit analysis, a financial tool that companies use to determine how changes in costs and volume affect a company's operating income and net income.

Customer Relationships

The ongoing process of engaging with customers to foster loyalty, satisfaction, and mutual benefit through direct and indirect communication and service.