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Which of the following statements about the importance of each competitive factor ( but especially such highly influential factors as selling prices, S / Q
Which of the following statements about the importance of each competitive factor but especially such highly influential factors as selling prices, SQ ratings, and number of modelsstyles offered in determining company sales volumes and market shares in a particular geographic region is false?
In the rare instance that all companies should happen to charge the same wholesale price to retailers in a region and the same online retail price at their websites, then price becomes a total competitive nonfactor and has zero impact on buyer appeal for one company's brand versus another.
Tiny crosscompany differences on a highly influential competitive factor like selling prices, or SQ ratings or modelsstyles nearly always have a bigger impact on company salesmarket shares in a region than do large differences on less influential competitive factors like mailin rebates or expenditures for retailer support.
How much company selling prices matter in determining each company's unit salesmarket share in a region is not a fixed amount but rather is an amount that varies from "big" when price differences are also "big" to "small" when prices differences are "small" to "zero" when the prices of rivals are identical
Big companytocompany price differences in a region weigh heavily in accounting for companytocompany differences in branded pairs sold and market share in all four geographic regions.
As the spread between the highestpriced company and the lowestpriced company becomes smaller and smaller, the weaker is the unit salesmarket share impact of the price differences among competing companies.
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