When a Company Uses Advertising and Sales Promotion to Inform

question 37

Multiple Choice

When a company uses advertising and sales promotion to inform consumers about a product so they will ask retailers to stock it,which strategy is being used?

• A)Drag strategy
• B)Push strategy
• C)Pull strategy
• D)Shove strategy
• E)None of the above

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Definitions:

Machine-Hours

A measure of production output or activity level, representing the total hours that machinery is operating over a specific period of time.

Markup

The difference between the cost of a good or service and its selling price, expressed as a percentage over the cost.

Variable Manufacturing Overhead

Costs that vary with production volume, including indirect materials, indirect labor, and other expenses that increase or decrease with output.

Direct Labor-Hours

The complete tally of hours that employees dedicate to the manufacturing process.