Question
4 Marketers of financial services use price to achieve three objectives: market share, profit generation and ____. A Profit optimization B Profit sustainability C Customer
4 | Marketers of financial services use price to achieve three objectives: market share, profit generation and ____. |
A | Profit optimization |
B | Profit sustainability |
C | Customer retention and loyalty building |
D | Cost reduction |
E | Promote sales of bundled services |
5 | The prime limitation of using parity pricing is that it is _______. |
A | Difficult to allocate fixed costs across multiple services |
B | Pricing can be volatile due to uncontrollable factors |
C | Dependent on the consumers perceptions of parity |
D | Difficult to define |
E | Dependent on competitors pricing strategies |
6 | When MBNA Bank Canada introduced its credit card in Canada, it offered a generous 6-month period of 0% interest on balances transferred from competitors credit cards. A disadvantage of this promotional pricing strategy is that it can attract customers who do not revolve high credit balances. |
A | True |
B | False |
7 | In addition to creating awareness of a financial services brand and to stressing intangible product features, advertising also _______. |
A | Promotes immediate purchase |
B | Attracts new buyers |
C | Assists to differentiate from the brands and products competitors |
D | Generates positive post-purchase dissonance |
E | Contributes towards economic and social prosperity |
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