In Response to Duracell's Introduction of the Duracell Ultra Battery

question 99

Multiple Choice

In response to Duracell's introduction of the Duracell Ultra battery, Energizer introduced an Advanced Formula battery. But unlike Duracell, Energizer priced its battery at a low initial price to attract the mass market. Was Energizer's pricing strategy to take market share from Duracell a success?

• A)No, because consumers are price-insensitive when it comes to batteries.
• B)Yes, because of the positive association with the "Energizer Bunny" marketing campaign.
• C)No, because consumers were unable to perceive the improved quality due to the low price.
• D)Yes, because consumers typically respond positively to cost-plus pricing.
• E)Yes, because the demand for batteries has unitary elasticity.

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Definitions:

Relapse Prevention

Strategies or techniques used to avoid returning to harmful or undesired behaviors after a period of recovery or improvement.

High-Risk Situations

Circumstances or environments that have a greater likelihood of leading to harm or negative outcomes.

Behavioral and Cognitive

Pertaining to the psychological approaches that focus on altering negative behaviors and thought patterns.

Avoidance

A behavioral or psychological strategy of keeping away from certain situations, thoughts, or feelings that cause distress.