Which of the Following Is a Disadvantage of Using Samples

question 35

Multiple Choice

Which of the following is a disadvantage of using samples as a consumer sales promotion tool?

• A)They require high creativity.
• B)They incur high cost to a firm.
• C)They discourage trial.
• D)They reduce direct involvement of consumers.
• E)They result in a reduction of sales.

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Definitions:

Marginal Cost

Marginal cost represents the change in total cost that arises when the quantity produced changes by one unit.

Profit-maximizing Price

The optimal price level for a good or service at which a firm can achieve the highest possible profit, given its cost structure and demand curve.

Craftmatic Adjustable Beds

A brand of electrically adjustable beds that allow users to change the sleeping position based on comfort preferences or medical needs.

Per Capita Income

The average income earned per person in a given area.