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Exercises for Chapter 10: Introduction to marketing-2020AU

Retailers such as Costco and Walmart charge a constant, daily low price with few or no temporary price discounts. This is an example of ________.
A) competition-based pricing
B) penetration pricing
C) break-even pricing
D) everyday low pricing
E) cost-plus pricing
________ is the only element in the marketing mix that produces revenue.
A) Price
B) Fixed costs
C) Variable costs
D) Product
E) Place
Distinguish between value-based pricing and cost-based pricing.
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What sets the ceiling for product prices?
A) break-even volume
B) variable costs
C) product manufacturing costs
D) sellers perceptions of the products value
E) customer perceptions of the products value
Fixed costs ________.
A) represent the annual costs of inputs incurred by a company
B) are the sum of the overhead and variable costs for any given level of production
C) are costs that do not vary with production or sales level
D) decrease with accumulated production experience
E) vary directly with the level of production
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