Understanding Added Value in Business

What is the primary reason companies can sell their products for more than the cost to produce them?

• Added value

• Marketing

• Supply chain efficiency

• Customer loyalty

How does removing the rind and chopping a watermelon add value?

• It makes the watermelon taste better

• It makes the watermelon more convenient to eat

• It changes the color of the watermelon

• It increases the nutritional value

What is one way a business can add value to a product?

• By limiting the availability

• By reducing the quality

• By making the product more convenient

• By increasing the price

Why do customers often choose branded products over non-branded ones?

• Branded products are more colorful

• Branded products are harder to find

• Branded products are always cheaper

• Branded products are perceived to be more trustworthy

What is an example of a company that adds value through branding?

• Reebok

• Nike

• Puma

• Adidas

Why do customers pay more for products from Marks & Spencer compared to Aldi?

• Because of the location of the stores

• Due to the higher quality of products

• Due to longer store hours

• Because of better customer service

How does Gymshark add value to their products?

• By designing products with unique features

• By offering discounts

• By limiting product availability

• By reducing production costs

What is a unique selling point (USP)?

• A feature that reduces the product's quality

• A feature that makes a product cheaper

• A feature that makes a product more common

• A feature that differentiates a product from competitors

How did Lush add value to their products?

• By reducing prices

• By having strong ethical credentials

• By increasing advertising

• By offering more discounts

Why is adding value to products and services important for businesses?

• It limits the product's availability

• It decreases the product's quality

• It incentivizes customers to make purchases

• It reduces production costs