The Benefit from a Good or Service That You Purchase

question 247

Multiple Choice

The benefit from a good or service that you purchase is measured by

• A) the dollar amount that is paid for the good or service.
• B) the dollar amount you can get by selling the good or service.
• C) what you are willing to give up to obtain the good or service.
• D) how strong the incentives were that lead to buying the good or service.
• E) None of the above answers is correct because there is no way to measure the benefit you receive from purchasing a good or service.

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Definitions:

Few Suppliers

A sourcing strategy where a company relies on a limited number of suppliers for its materials or components.

Technological Change

Technological change involves the invention, innovation, and diffusion of new technologies or processes, significantly impacting productivity and societal practices.

Vertical Integration

A strategy where a company expands its operations to include different stages of production and distribution within its industry.

Vertical Integration

An approach in which a business grows by extending into various stages along its production chain, including instances where a producer controls its own supply and distribution networks.