Point-Of-Purchase Promotions Are Seldom Used as a Sales Promotion Tool

question 83

True/False

Point-of-purchase promotions are seldom used as a sales promotion tool because most purchase decisions are made before consumers ever enter a store.

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Definitions:

Risk Premium

The additional return expected by an investor for taking on a higher level of risk, compared to a risk-free investment.

Nominal Interest Rate

The interest rate in terms of nominal (not adjusted for purchasing power) dollars.

Coupon Rate

A bond’s interest payments per dollar of par value.

Expected Rate of Inflation

An estimate of the rate at which the general level of prices for goods and services will rise over a period.