Product Differentiation

question 55

Multiple Choice

Product differentiation

• A) refers to firms' attempts to make their products look the same as other products in the industry.
• B) refers to firms' attempts to make real or apparent differences in essentially substitutable products look different in the minds of consumers.
• C) refers to the advantage big firms have in research and development.
• D) is a common characteristic of a perfectly competitive market structure.
• E) is employed only in a monopoly market structure.

---

Definitions:

Social-Cognitive Explanation

An approach in psychology that emphasizes the role of cognitive processes in understanding social behavior.

Hidden Observer Theory

A concept in hypnosis positing that a separate consciousness is formed in an individual that is aware of all things during hypnosis.

Behavioral Theory

A theory that focuses on studying and modifying observable behavior through conditioning processes.

Hallucinogen

A substance causing alterations in perception, mood, and thought, typically inducing visions or hallucinations without external stimuli.