Which of the Following Statements Accurately Characterizes Buying Behaviour in Organizational

question 50

Multiple Choice

Which of the following statements accurately characterizes buying behaviour in organizational markets?

• A)Organizational buying behaviour is similar to consumer buying behaviour since individuals are involved in both processes.
• B)Demand for industrial products is elastic instead of inelastic or derived because companies, not ultimate consumers, determine the quantity of goods produced.
• C)Fewer customers typically exist in organizational markets than in consumer markets.
• D)Forecasting is not as important in organizational buying as in consumer buying.

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Definitions:

Price Elasticities

Measures of how the quantity demanded or supplied of a good responds to a change in its price.

Marginal Revenue

The additional income gained from selling one more unit of a product or service.

Third-Degree Price Discrimination

A pricing strategy where a seller charges different prices to different consumer groups for the same product or service, based on varying demand elasticities.

Third-Degree Price Discrimination

A pricing strategy where a seller charges different prices to different consumer groups based on their elasticity of demand.