Target market sensitivity to money costs may be measured by:
A) market elasticity.
B) product elasticity.
C) consumer elasticity.
D) price elasticity.
E) mix elasticity.

Question

Quizplus · Accepted Answer

Price elasticity refers to how sensitive customers are to changes in price. If a target market is highly sensitive to money costs, they are likely to have a high price elasticity, meaning that even small changes in price can lead to significant changes in demand for the product. Therefore, measuring price elasticity can help businesses understand their target market's sensitivity to money costs.

Target Market Sensitivity to Money Costs May Be Measured By