$45-$You are the manager of a company that produces handbags that have a moderate level of

perceived value at a reasonable price. However, you see that sales have become stagnant

over the last couple of years which requires a change of strategy. You have witnessed that

after the recession, there is a surge in the luxury market for handbags which creates an

appealing target market for you. What is a reasonable course of action to take?

a$.$ Product development and differentiation strategy

b$.$ Diversification and differentiation strategy

c$.$ Product development and low$-$price strategy

d$.$ Diversification and low$-$price strategy

$46-$ You are in a board meeting of a consumer electronics goods company, and you are

discussing the release of a new product line. The sales team seems to base the projection

for the sales volumes on the sales of a similar product line that you currently have. Which

bias is most likely present here?

a$.$ Confirmation

b$.$ Representativeness

c$.$ Anchoring

d$.$ Groupthink

$47-$You are a director in a large company which produces $3$D TVs for home multimedia. You

have recently been concerned about the high power of your buyers. How can you decrease