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Klen, a Cellphone Manufacturer, Realizes That One of Its Products

question 79

Multiple Choice

Klen, a cellphone manufacturer, realizes that one of its products is experiencing a consistent decline in sales and profits.The company, however, decides to keep the product, but reduces marketing support in an attempt to reap minor profits.This strategy is called _____.


Definitions:

Dimes

A coin representing ten cents in the United States currency.

Marginal Rate

The marginal rate usually refers to the incremental increase or decrease in the assessment of a variable or cost in response to a change in some activity.

Goods A

Indicating a generic category of tangible products or commodities.

Budget Constraint

The financial limit on the consumption choices of an individual or household based on income and the prices of goods and services.

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