_____ occurs if Coke hires Lebron James to make a commercial and Pepsi follows by hiring Peyton Manning for its commercial.

Question

Quizplus · Accepted Answer

This situation is an example of nonprice competition, where firms compete with each other using means other than price, such as advertising and endorsements. In this case, Coke and Pepsi are both trying to grab the attention of consumers by using celebrity endorsements.

_____ Occurs If Coke Hires Lebron James to Make a Commercial