An Analysis of a Prospective Product Shows That Sales for It

question 161

Multiple Choice

An analysis of a prospective product shows that sales for it are expected to grow by at least 10 percent each year over the next 5 years before it enters the maturity phase of its product life cycle.This type of analysis would provide useful information in which step of the price-setting process?

• A)identifying pricing objectives and constraints
• B)determining cost,volume,and profit relationships
• C)estimating demand and revenue
• D)selecting an appropriate (approximate)price lining strategy
• E)making special adjustments to list or quoted price

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Definitions:

Exaptation

A trait that becomes used for an entirely new purpose during evolution.

Key Innovation

An evolutionary adaptation that gives its bearer the opportunity to exploit a particular environment more efficiently or in a new way.

Adaptive Radiation

An evolutionary process in which organisms diversify rapidly into a multitude of new forms, particularly when a change in the environment makes new resources available or opens new niches.

Temporal Isolation

A mechanism of reproductive isolation where two species mate or flower at different times, preventing crossbreeding.