Companies pursuing a differentiation strategy are likely to train their employees to develop a broader set of skills than companies focusing on cost leadership.

Which of the following is true of businesses with a narrow market vision?

A) Their view of market demand enables them to recognize emerging market opportunities. B) Their view of market demand enables them to achieve maximum market potential. C) They have the ability to see unserved needs that no one is addressing. D) They do not see beyond the articulated needs of served customers. E) They include all potential substitute products.

When a movie theater increases its price from $6 to $7, its quantity demanded decreases from 600 to 400 seats. Its price elasticity of demand (expressed as a positive number) equals _____

a. 0.2 b. 0.9 c. 1.8 d. 2.6