Compare and contrast line extensions and product modifications.
What will be an ideal response?
A line extension is the development of a product closely related to one or more products in the existing product line but designed specifically to meet somewhat different customer needs. On the other hand, a product modification involves changing one or more characteristics of a product. A product modification differs from a line extension because the original product does not remain in the line. However, like a line extension, a product modification entails less risk than developing new products.
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In comparison to when monetary policy is not contractionary, under a contractionary monetary policy, the unemployment rate is ____ and the inflation rate is _____ over time.
A. higher; higher B. higher; lower C. lower; lower D. lower; higher
______ is reasoning that takes a known idea or general principle and applies it to a situation.
Fill in the blank(s) with the appropriate word(s).
Selective distribution means selling through
A. all responsible and suitable wholesalers. B. only those wholesalers and retailers who give the product special attention. C. only one wholesaler or retailer in each geographic area. D. multichannel distribution. E. retailers but not wholesalers.
Studies suggest that if firms could get almost 4 percent more work out of each employee, the GDP in the United States would increase by $355 billion.
Answer the following statement true (T) or false (F)