Price Can Be Used as a Strategic Variable to Achieve

question 61

True/False

Price can be used as a strategic variable to achieve specific goals,including ROI,profit,and rapid recovery of product development costs.

Distinguish between different modes of electronic communication and their appropriate business uses.

Understand the concept and benefits of user-generated content sites.

Grasp the essentials of effective blogging for business communication.

Learn the principles of viral marketing and conversation marketing.

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Definitions:

Explicit Costs

Direct, out-of-pocket payments for wages, rent, materials, and other inputs in the production process.

Opportunity Costs

The value of the best alternative foregone when a decision is made to pursue a particular action, essentially the cost of choosing one option over another.

Implicit Costs

The opportunity costs of using resources owned by the firm for its own production, instead of earning income elsewhere.

Explicit Costs

Direct, out-of-pocket payments made for the operation of a business, such as wages, rent, and materials.