A go-cart manufacturer recently added shock absorbers to make the ride in its go-carts smoother. It has not changed its prices. This is a(n) _____ modification.

A. upsale
B. style
C. dysfunctional
D. repositioning
E. quality


Answer: E

Business

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a. Accounts Receivable – Debit; Revenue from Services – Credit b. Revenue from Services – Debit; Accounts Payable – Credit c. No entry is required until the cash is received. d. Revenue from Services – Debit; Accounts Receivable – Credit

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Alia was satisfied with the old television that she had owned for years. But after watching a few shows on her friend's big, flat-screen, HD television, she felt that she should buy a newer model for herself. Which of the following limitations of measuring macro-marketing effectiveness does this illustrate?

A. Customer satisfaction is easy to measure by means of a survey or a poll. B. Customer satisfaction depends on and is relative to individual aspirations. C. Customer satisfaction remains unchanged even when levels of expectation rise. D. The average level of customer satisfaction provides a complete picture for evaluating macro-marketing effectiveness. E. The American Customer Satisfaction Index provides an accurate measure of satisfaction.

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The total fixed costs are $10,000, and the average variable cost per unit is $3. For a production volume of 10,000 units, the average cost per unit is

A. $1.00. B. $3.30. C. $4.00. D. $3.00. E. $10.00.

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Cirrus Shoes received negative publicity when the company's brand ambassador was convicted of sexual assault. The company was forced to rescind their association with entertainer Adrian Richardson due to the negative impact on its image. This scenario is an example of

A. celebrity popularity. B. consumer-celebrity merging. C. overshadowing the product. D. risk to the advertiser. E. overexposure.

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