Cost-Plus Pricing Has Several Disadvantages,including

question 108

Multiple Choice

Cost-plus pricing has several disadvantages,including:

• A)it clouds the relationships among price,volume,and costs.
• B)it fails to consider the competition sufficiently.
• C)a mentality of "I-can-do-it-cheaper," leading to price competition with larger companies.
• D)it tends to be reactive rather than proactive in relation to competition and market forces.

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Definitions:

Weiner's Attributional Model

A framework explaining how individuals infer the causes of their own and others' behavior and outcomes, impacting emotions and motivations.

Natural Selection

A process in evolutionary biology where organisms better adapted to their environment tend to survive and produce more offspring, leading to the propagation of favorable traits.

Evolutionary Psychologists

Researchers who study the mind and behavior through the lens of evolutionary theory, focusing on how evolution has shaped psychological mechanisms.

External Attribution

Refers to the process of attributing a person's behavior to external factors, such as the situation or environment they are in.