Product Class Is Based on the Type of ____________

question 343

Multiple Choice

Product class is based on the type of ____________.

• A) customer
• B) manufacturing process
• C) marketing mix
• D) marketing strategy
• E) shopping strategy

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Definitions:

Excess Capacity

A situation where a firm produces at a lower scale of output than it has been designed to handle.

Profit-Maximizing

The process of identifying the best level of output at which a company can produce goods or services to achieve the highest possible profit.

Product-Variety Externalities

Economic externalities that arise when the introduction of new products benefits consumers by providing a wider array of choices, potentially affecting their utility and the demand for various goods.

Business-Stealing

The negative impact on existing firms when new entrants to the market capture some of their market share, leading to potentially lower profits for the incumbents.