When a Credit Card Company Offers Different Services with Its

question 142

Multiple Choice

When a credit card company offers different services with its card, like travel insurance for air travel tickets purchased with the credit card or product insurance for items purchased with the card, the credit card company is trying to

• A)create a barrier to entry for competing firms.
• B)create a perfectly competitive market in which to sell its credit card.
• C)convince customers that its card has greater value than those offered by rival firms.
• D)shift the demand curve for competing firms to the right.

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Definitions:

Messages

Pieces of communication or information conveyed from one person or entity to another.

Processing

The act of performing a series of operations on data or materials to convert them into a desired form or outcome.

CPU

Central Processing Unit, the primary component of a computer that performs most of the processing inside a computer.

Stored Unit

A measured quantity of energy saved or reserved in a medium or system for future use.