The Concept of the Diffusion of Innovation Shows How a Product

question 268

Multiple Choice

The concept of the diffusion of innovation shows how a product "diffuses" or spreads through the population over time.The consumer population is divided into five categories of product adopters based on when they adopt (i.e. ,first buy) a new product.Each product adopter category has a unique profile.Consumers who are leaders in social setting,and have slightly above average education are called __________ product adopters.

• A)innovators
• B)early adopters
• C)early majority
• D)late majority
• E)laggards

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Definitions:

Cost Behavior

The study of how specific costs respond to changes in the level of business activity, categorized into fixed, variable, and mixed costs.

High-Low Method

A technique used in cost accounting to estimate fixed and variable costs based on the highest and lowest levels of activity.

Fixed Cost

Costs that remain unchanged regardless of the level of production or business activity within a certain range.

High-Low Method

A technique used in cost accounting to estimate variable and fixed costs based on the highest and lowest levels of activity.