The maker of Hanes pantyhose attempts to set its product apart from the competition.As a result,the company obtained some limited control over the price of its product.Achieving price control in this manner is known as
A) advertising.
B) distributional efficiency.
C) low-cost production.
D) niche marketing.
E) product differentiation.

Question

Quizplus · Accepted Answer

The statement describes how Hanes attempted to set its product apart from the competition, which is an example of product differentiation. By doing so, the company obtained some limited control over the price of its product, which is a benefit of product differentiation. Therefore, the best choice is E - product differentiation.

The Maker of Hanes Pantyhose Attempts to Set Its Product