Which of the following is true about advertising?
A)It is an efficient form of competition.
B)It is less important than price competition in oligopolistic and monopolistic competition.
C)It is a form of nonprice competition.
D)It is a major component of competition in perfectly competitive markets.

Question

Quizplus · Accepted Answer

Nonprice competition refers to competition between firms to sell more of their product by enhancing its image, quality, or design rather than by competing on price. Advertising is a common form of nonprice competition where firms use media to promote their product and make it more appealing to consumers.

Which of the Following Is True About Advertising