Price Elasticity of Demand Is Determined by a Number of Factors,such

question 138

Multiple Choice

Price elasticity of demand is determined by a number of factors,such as the availability of substitutes,the necessity of the product or service,the cash outlay of purchase relative to a person's disposable income,and

• A) whether the item is a luxury product or service.
• B) the stage of the product or service in its product life cycle.
• C) the degree of carrying costs for the manufacturer or distributor.
• D) the financial resources of the organization itself.
• E) the ability of the organization to meet sudden increases in demand.

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Definitions:

Functional Need

A consumer's requirement for a specific feature or function that a product or service must fulfill to be considered useful.

Lifestyle

The way in which a person or group lives, including patterns of social relations, consumption, entertainment, and dress.

Cognitive Component

A component of attitude that reflects what a person believes to be true.

Jaguar Vehicles

A prestigious brand of luxury and sports cars produced by the British automobile manufacturer Jaguar Land Rover.