A Marketing Strategy That Represents a Hasty Response to Environmental

question 4

Multiple Choice

A marketing strategy that represents a hasty response to environmental changes is called a

• A)reactive strategy.
• B)proactive strategy.
• C)hyperactive strategy.
• D)defensive strategy.
• E)offensive strategy.

---

Definitions:

Deadweight Loss

A reduction in economic productivity occurring when there is no achievement of equilibrium for a good or service.

Marginal Revenue

The enhanced income derived from peddling an additional unit of a product or service.

Marginal Cost

The increase in total cost that arises from producing one additional unit of a good or service, a critical factor in economic decision-making.

Predatory Pricing

Practice of pricing to drive current competitors out of business and to discourage new entrants in a market so that a firm can enjoy higher future profits.