Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You work at a store that sells stereo equipment. The manager is thinking of dropping the most expensive item because sales of this product are

You work at a store that sells stereo equipment. The manager is thinking of dropping the most expensive item because sales of this product are very low (close to zero) and this model is not perceived by customers to be that high-end quality. Based on what we have studied in this class, why might you discourage the manager from this action? Group of answer choices The other items might look more attractive because of the expensive option and their sales might be high due to the attraction effect Keeping more items in the store might cognitively overwhelm customers and prompt them to use System 2 thinking, which could lead to more impulsive purchases Customers use the expensive stereo equipment as a default and therefore are inclined to purchase more Having expensive stereos on the shelf might give the store a high-end image and attract higher income customers

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Essential Quantitative Methods For Business Management And Finance

Authors: Les Oakshott

7th Edition

1352005697, 978-1352005691

More Books

Students also viewed these General Management questions

Question

What are possible safety concerns? Explain.

Answered: 1 week ago

Question

What would you do if you were in Margarets shoes?

Answered: 1 week ago