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Customers That Have No Relevant Prior Experience with a Firm

question 16

True/False

Customers that have no relevant prior experience with a firm may base pre-purchase expectations on word-of-mouth comments, news stories, or the firm's own marketing efforts.


Definitions:

Social Loafing

A reduction in individual effort when working in a group compared to working individually.

Homogeneity

The quality or state of being uniform or similar in nature or character.

Ingroup

A social group to which a person psychologically identifies as being a member.

Outgroup

A social group to which an individual does not identify or belong, often perceived as fundamentally different or inferior to one's own group.

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