South Spice,a restaurant,makes all its menu items from scratch and uses authentic Mexican herbs in its dishes.As a result of its focus on using specialty ingredients,prices are 75% higher than its competitors.South Spice knows that
A)the higher the price,the better its perceived quality.
B)people always pay more for items that are unfamiliar to them.
C)people think that the competitor's food is priced too low.
D)experience has taught consumers to ignore prices.

Question

Quizplus · Accepted Answer

The perception of higher quality is often associated with higher prices, especially when it comes to food and the use of specialty or authentic ingredients, as is the case with South Spice. This can lead to consumers believing that the higher price is justified by the superior quality of the dishes.

South Spice,a Restaurant,makes All Its Menu Items from Scratch and Uses