A consumer's price sensitivity will increase as:
A)the perceived number of substitutes increase.
B)switching costs increase.
C)the shared costs for the expenditure increase.
D)the perceived unique value of the service increases.
E)the customer's ability to build an inventory decreases.

Question

Quizplus · Accepted Answer

When there are a higher number of perceived substitutes for a product or service, consumers are more likely to switch and choose a cheaper option if the price increases. Therefore, price sensitivity increases.

A Consumer's Price Sensitivity Will Increase As