SCENARIOS Digital Cookware

question 75

Multiple Choice

SCENARIOS
Digital Cookware
Digital Cookware has developed a new kind of skillet that should make cooking easier for many non-chefs.The skillet has a display on its handle that beeps to alert the cook when the pan's target temperature is reached.The skillet with the aid of an accompanying cookbook will take much of the guesswork out of cooking.Digital Cookware is a small company,and it has invested considerable money in developing this new technology,which it eventually hopes to use in an entire line of pots and pans.It has run some small ads for the new skillet in cooking magazines and been featured on some morning talk shows.It needs a quick infusion of cash to maintain its current operational level and to develop the rest of the cookware line.Digital Cookware is considering some kind of sales promotion.
-Refer to Digital Cookware.Coupons would probably be an unsuitable sales promotion for this company because:

• A) coupons are typically used for repeat purchases by actual customers
• B) coupons cannot support any on-line sales of the new product,which might be used to increase sales volume
• C) customers make too frequent use of coupons
• D) coupons are under close federal government scrutiny
• E) coupons cannot encourage trial purchase

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Definitions:

Factorial Designs

Experimental strategy that involves testing more than one independent variable at the same time, to study their effects and interactions.

Independent Variable (IV)

A variable in an experiment that is manipulated by the researcher to observe its effect on the dependent variable.

Levels

Refers to the different values or states that an independent variable can take on in an experiment or study.

Main Effects

are the direct impacts of each independent variable on the dependent variable in an experimental study, disregarding interactions between variables.