To discourage consumers from buying in gray markets,some manufacturers have
A) warned consumers that warranties will become null and void if the product is purchased through a gray market supplier.
B) shifted advertising resources from gray markets to black markets.
C) increased the price to gray markets while maintaining existing prices to blue markets.
D) petitioned government regulators to impose price controls.
E) lowered the quality of their products to reduce gray market demand.

Question

Quizplus · Accepted Answer

By warning consumers that warranties will become null and void if the product is purchased through a gray market supplier, manufacturers can discourage them from buying from such sources. This is because consumers generally attach a lot of value to warranties, and if they are made aware that they will not be able to avail of them if they buy from a gray market supplier, they may be inclined to make the purchase from an authorized dealer.

To Discourage Consumers from Buying in Gray Markets,some Manufacturers Have