In International Distribution, Replacement Effect Can

question 33

Multiple Choice

In international distribution, replacement effect can:

• A)cannibalize existing distribution channels.
• B)delete existing distribution channels.
• C)replace existing distribution channels.
• D)downsize existing distribution channels.
• E)add more distribution channels

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Definitions:

Utility-Maximizing

The economic principle that individuals or firms seek to get the greatest satisfaction or profit from their resource choices.

Utility

The satisfaction or benefit derived from consuming goods or services.

Consumer Wants

Desires or needs that individuals seek to satisfy through the purchase of goods or services.

Total Utility

The overall satisfaction or value a consumer receives from consuming a given quantity of a good or service.