Product Modification Refers to

question 30

Multiple Choice

Product modification refers to

• A)strategies that alter a product's characteristic such as its quality, performance, or appearance to increase the product's value to customers and increase sales.
• B)a strategy for managing a product's life cycle that attempts to increase a product's use among existing customers, create new use situations, or find new customers markets.
• C)a strategy in which a company tries to find new customers and increase a product's use among users who "strayed" but will return again.
• D)a strategy whereby a firm drops its lowest producing market segment and replaces it with an entirely new target market.
• E)a strategy of blending the lowest producing market segments into one new target market in order to enjoy marketing economies of scale.

---

Definitions:

Multiply

The arithmetic operation of scaling one number by another, equivalent to adding a number to itself multiple times.

Simplify

The process of reducing a mathematical expression or equation to its simplest form.

Compounded Annually

Refers to the process of calculating and adding interest to the principal sum of an investment or loan once every year.

Interest Rate

The proportion of a loan that is charged as interest to the borrower, typically expressed as an annual percentage of the loan outstanding.