Beck wanted to join a gym but was worried about the cost.The gym offered her a 100 percent rebate on a one-year membership if she gave the gym the names and telephone numbers of five of her friends.This is an example of:
A)bid rigging.
B)bait-and-switch.
C)predatory pricing.
D)referral selling.
E)pyramid selling.

Question

Quizplus · Accepted Answer

This scenario is an example of referral selling, where a person is rewarded or offered an incentive for referring their friends or acquaintances to purchase a product or service. In this case, the gym is offering a 100 percent rebate on a one-year membership to Beck if she provides referrals.

Beck Wanted to Join a Gym but Was Worried About