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

Question

Quizplus · Accepted Answer

When shared costs with third parties increase, the consumer's direct cost decreases, making them less sensitive to price changes since they bear a smaller portion of the total cost.

A Consumer's Price Sensitivity Will Decrease As