Intangibility Refers to the

question 114

Multiple Choice

Intangibility refers to the

• A)nonphysical nature of services as opposed to products.
• B)fact that production and consumption are inseparable for services.
• C)greater chances for variation in the performance of services than in the production of products.
• D)fact that services cannot be inventoried but must be consumed when performed.

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Definitions:

Price Setting

The process of determining the selling price of a product or service, typically based on costs, market demand, and competition.

Marginal Cost

The increase in total cost that arises from producing one additional unit of a product or service.

Market Output

The total quantity of goods or services produced and supplied in a market at a given time.

First-move Ability

The advantage or strategic benefit gained by being the first to act or move in a given situation, often discussed within the context of game theory and competitive scenarios.