Diffusion Research Company specializes in conducting market research for various firms.When it receives proposals for new research,its management will first estimate the cost of conducting the research and producing and delivering the final research report.The management then adds 30 percent to that cost estimate.This becomes the price estimate given to the potential research client.This suggests that Diffusion Research Company uses a _____ pricing objective.
A)profit-oriented
B)market share maximization
C)status quo
D)sales maximization

Question

​Diffusion Research Company specializes in conducting market research for various firms.When it receives proposals for new research,its management will first estimate the cost of conducting the research and producing and delivering the final research report.The management then adds 30 percent to that cost estimate.This becomes the price estimate given to the potential research client.This suggests that Diffusion Research Company uses a _____ pricing objective.
A)profit-oriented
B)​market share maximization
C)​status quo
D)sales maximization

Quizplus · Accepted Answer

Diffusion Research Company is adding a 30% markup on top of its estimated cost, indicating that it aims to make a profit. Therefore, it uses a profit-oriented pricing objective.

​Diffusion Research Company Specializes in Conducting Market Research for Various

Diffusion Research Company Specializes in Conducting Market Research for Various