When Cathy went shopping, she paid a lot to buy a jacket that had a well-known designer's tag attached to it
After a few days, she came across a jacket which was undistinguishable from the one she had bought but was priced 5 times lesser than the earlier one. She didn't give this a second thought because she was convinced that the designer label she had bought was worth it. What can be deduced from this?
Cathy was using the price as an indicator of quality. She was using image pricing. This kind of pricing is especially effective with ego-sensitive products such as perfumes, expensive cars, and designer clothing.
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Which of the following statements regarding product benefits is most likely true?
A) People do not buy benefits, they buy features. B) A benefit provides the customer with a personal advantage. C) Prospects usually display equal interest in features and benefits. D) Product features and benefits are the same but presented differently to consumers. E) Salespeople should avoid describing features and focus exclusively on product benefits.
The Investment Advisers Act of 1940 requires persons and firms giving investment advice to clients to ________
A) attend education seminars B) demonstrate expertise in economics and finance C) impose administrative sanctions on securities buyers D) register with the Securities and Exchange Commission