The Brainchild Is a Store That Specializes in Educational Toys

question 109

Multiple Choice

The Brainchild is a store that specializes in educational toys for children. In order to increase the probability of customers visiting the store, it has now introduced offers such as discounts, gift wrapping, and free shipping. The Brainchild is looking to increase the chances of customer purchases by

• A) decreasing an importance weight.
• B) increasing a performance belief.
• C) decreasing the performance belief for a competitive retailer.
• D) adding new benefits.
• E) focusing on all benefits.

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Definitions:

Statistical Evidence

Data collected and analyzed for the purpose of supporting a conclusion or hypothesis.

Step-Variable Cost

The cost of a resource that is obtained in large chunks and that increases and decreases only in response to fairly wide changes in activity.

Contribution Margin

It is the difference between the sales revenue of a product and its variable costs. The contribution margin represents the portion of sales revenue that is not consumed by variable costs.

Behaviour

The actions or reactions of a person or system in response to external or internal stimuli.