Price

High pricing is better for a company to use then low pricing if they want to increase profits.

• True

• False

If consumers believe they will gain a great deal of satisfaction from a product they will place a high value on it.

• True

• False

Shrinkflation is a strategy companies use to maintain profits when costs & expenses increase.

• True

• False

Regardless of brand loyalty consumers are not willing to buy a product that increases in price. 

• True

• False

When customers see a product with higher-than-average prices they often believe it has status and better quality.

• True

• False

Which of the following products is inelastic?

• Toilet Paper

• Gasoline

• Leather Belt

• Netflix

Why is Xfinity internet able to increase the price of their service every year and not lose customers?

• There are very few substitutes in the Reading area.

• Customers that use Comcast internet are wealthy and do not care if the price increases annually.

• Internet access is a luxury item so customers are willing to pay even when prices increase.

Which of the following is an example of Urgency of Purchase?

• Target increasing the price of umbrellas when it is raining outside.

• Charmin toilet paper increasing its pricing to appear to have higher quality.

• Nike selected a drop date for Jordan 14 "Pandas" on December 23.

Which of the following factors BEST explains how is Apple able to put out a new iPhone every year and increase the price without losing customers?

• Brand Loyalty

• Necessity

• Price Relative to Income

• Urgency

What is one disadvantage of artificial intelligence?

• Customers pay the same price for less product.

• Companies have less control over the quality of the product.

• There is a decrease in job opportunities.