Buyers Are Highly Price Sensitive When

question 63

Multiple Choice

Buyers are highly price sensitive when

• A) their purchase represents a small fraction of their procurement budget.
• B) they earn low profits or are strapped for cash.
• C) the quality of their products and services are highly affected by the quality of the inputs.
• D) the industry's products are highly characterized with non-price competition.

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Definitions:

Sociology

The study of the development, structure, and functioning of human society, including patterns of social relationships, social interaction, and culture.

Economics

The social science concerned with the production, distribution, and consumption of goods and services, and the study of human behavior in allocating resources.

Weekend

The part of the week typically comprising Saturday and Sunday, commonly understood as a time of rest from work.

Commodity 1

Typically refers to a basic good used in commerce that is interchangeable with other goods of the same type; however, the context "1" could suggest a specific focus within a larger category of commodities.