Product Differentiation

question 15

Multiple Choice

Product differentiation:

• A) refers to the attempt by firms to make their products look like those of the other firms in the industry.
• B) refers to the attempt by firms to make essentially substitutable products look different in the minds of the consumers.
• C) refers to the advantage big firms have in research and development.
• D) is a common characteristic of a perfectly competitive market structure.

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Definitions:

Deming's Fourteen Principles

A set of guidelines for managers proposed by W. Edwards Deming to improve product quality, productivity, and competitive position.

Work Force

The collective group of individuals employed in a company or industry, contributing to its productivity through their efforts and skills.

Productivity

The efficiency with which inputs are converted into outputs, often measured in terms of the rate of output per unit of input.

Central Limit Theorem

A statistical principle that states the distribution of sample means approximates a normal distribution as the sample size becomes larger, regardless of the population's distribution.