Marketers of New and Innovative Products or Services Are More

question 90

Multiple Choice

Marketers of new and innovative products or services are more likely to use a price skimming strategy if:

• A)they can patent their innovation.
• B)they control access to materials used in production of the product.
• C)their innovation is complex and will take time to duplicate.
• D)entry costs for competitors are high.
• E)all of the above.

---

Definitions:

Monopolistic Competition

A market structure where many firms sell products that are similar but not identical, leading to competition but with limited market power for each firm.

Consumer Awareness

The understanding and knowledge that consumers have about products, services, and their rights, influencing their purchasing decisions and behaviors.

Demand

The capacity of consumers to purchase a good or service, considering their willingness and financial ability, at diverse prices over an established period.

Economic Inefficiencies

Circumstances where resources are not optimally allocated, leading to waste or losses in potential value within an economy.