Academic Standard, Inc. (ASI)
Academic Standard, Inc. (ASI) , sells its products through the Internet. Amanda is one of the biggest buyers of the company's products for her business. Nearly all of the interactions between Amanda's company and ASI have been electronic, saving both time and energy.
Although transaction costs are reasonable, ASI has encountered financial problems with high production costs. Jonathan, a veteran employee of ASI, suggested to senior management that certain aspects of production may need to be handled by other, more efficient companies. Jonathan also suggested that the company might want to create a physical store to possibly increase its visibility and potential profits. He explained many disadvantages of operating solely through the Internet.
-Refer to Academic Standard, Inc. Which of the following would not have been a disadvantage for ASI?
A) Users must have Internet access.
B) The Internet requires specialized knowledge to use.
C) The Internet is a less desirable means of communication compared to direct communication.
D) Promotional efforts may be annoying.
E) The Internet is an expensive method of promoting the firm.
Correct Answer:
Verified
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