One reason a company advertises is to
A) signal consumers that its product is high quality.
B) lower its total cost.
C) produce more efficiently.
D) lower its variable costs.
E) lower its fixed costs.

Question

Quizplus · Accepted Answer

Advertising is a way for a company to create brand recognition and communicate the value of their product to potential customers. By advertising, a company can signal to consumers that their product is of high quality, which can ultimately lead to increased sales and revenue.

One Reason a Company Advertises Is to