Which of the following is true of price skimming?
A) It is effective in situations in which competitors are able to undercut prices easily.
B) It can be profitably used when the product's quality and image support its price.
C) It involves underpricing products so that companies make larger sales.
D) It is ineffective in situations in which competitors are unable to enter the market easily.
E) It leads to a situation in which the company completes more, though less profitable, sales.
B
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Which of the following is true of franchising?
a. It is a form of contract manufacturing. b. It has grown rapidly in recent years. c. It is restricted to the market of fast-food restaurants. d. It requires an export agent and an export broker to be successful.
Costa Rica applied the concepts of the diamond of national advantage theory to help transform its economy by ________
A) building domestic demand for its products and services B) looking globally to develop favorable conditions C) following import substitution policies D) concentrating on nontradable goods