The Observation That Consumers Are Generally More Sensitive to Price

question 112

Multiple Choice

The observation that consumers are generally more sensitive to price increases than to price decreases suggests that

• A) most consumers cannot remember what price they paid the last time they bought a particular product.
• B) it is easier to lose customers with a price increase than to gain customers with a price decrease.
• C) most consumers would rather skip buying a product than pay a higher price.
• D) most consumers are emotionally attached to their favorite products and are unlikely to change, even if the price changes.
• E) firms gain more customers with price decreases than they lose with price increases.

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Definitions:

Chromosomes

Structures within cells that contain DNA and carry genetic information necessary for reproduction, growth, and maintenance of organisms.

Noncoding DNA

Segments of DNA that do not code for proteins but have roles in regulating gene expression and maintaining chromosome structure, among other functions.

Junk DNA

Refers to regions of DNA that are noncoding, once thought to have no function but now understood to have regulatory roles.

Genetic Markers

Specific sequences of DNA that can be used to identify individuals or species and to track inherited diseases.