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.

Question

Quizplus · Accepted Answer

Advertising is a form of nonprice competition designed to differentiate a product or service from its competitors through brand recognition, product features, or other factors besides price. This can be especially important in industries where there is little differentiation between products or services, such as in monopolistic competition. Additionally, advertising can increase demand for a product or service, which can lead to an increase in prices and profits in oligopolies or monopolies. Therefore, choice A and B are incorrect.

Which of the Following Is True About Advertising