Reference Groups Can Influence Buying Decisions by

question 118

Multiple Choice

Reference groups can influence buying decisions by

• A) encouraging impulse purchasing.
• B) entering into a customer's consideration set.
• C) focusing on a specific customer.
• D) enhancing a consumer's image.
• E) promoting lavish spending.

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Definitions:

ROA

Return on Assets, a profitability ratio indicating how efficient a company is at using its assets to generate earnings.

ROE

Return on Equity, a measure of financial performance calculated by dividing net income by shareholder's equity.

Earnings Variability

The fluctuation or volatility in a company's earnings over time, indicating the uncertainty and risk associated with the company's performance.

Goodwill

An intangible asset representing the value of a company's brand name, customer relationships, employee relations, and other factors not physically tangible.