Wholesome Pet Food has successfully specialized for $20$ years in high$-$quality pet food made from all$-$natural ingredients and organic lamb. This brand has a strong following and is recommended by veterinarians who practice in wealthy neighborhoods. Wholesome's main supplier of lamb has announced that the price for lamb will be $15$ percent higher next year. Which one of the following is true?

Group of answer choices

Wholesome will probably be able to pass the cost on to its customers because they are less sensitive to price increases than the average buyer

Companies pursuing Wholesome's business strategy are especially vulnerable to price increases by their suppliers.

If Wholesome raises its pet food prices, customers will turn to less expensive brands such as Purina

Wholesome probably operates on very thin margins, and a cost increase will threaten its ability to earn acceptable returns.