Deterrence Is a Competitive Action That Is More Attractive to Firms

question 4

True/False

Deterrence is a competitive action that is more attractive to firms that compete in multiple markets than in a single market because the resulting reputation can be transferred from one market to another.

Recognize the importance and methods of making services more tangible to consumers.

Comprehend the challenges in evaluating and marketing services due to their intangible nature.

Identify the four unique elements of services: intangibility, inconsistency, inseparability, and inventory.

Understand the role and growth of services in the economy.

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Definitions:

Status Quo Bias

A preference for the current state of affairs, with changes perceived as a loss.

Omission Bias

A cognitive bias that involves the tendency to judge harmful actions as worse, or less moral, than equally harmful omissions (inactions).

Decisions

The method of selecting options through recognizing a decision, collecting information, and evaluating different solutions.

Effort

The amount of physical or mental energy expended to achieve a goal.