A car dealer advertises free satellite radio for one year with the purchase of a new car.This is an example of:

Question

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The offer of free satellite radio for one year is an example of an incentive, as it is a reward or benefit offered to encourage the customer to make a purchase. Bait and switch refers to a dishonest tactic where a product is advertised at a low price to attract customers, but then the customer is encouraged to buy a more expensive product instead. Marginal sales refer to the additional revenue generated by selling one more unit of a product. Voluntary exchange refers to a transaction where both parties agree to the exchange of goods or services, which is the basic principle behind any purchase.

A Car Dealer Advertises Free Satellite Radio for One Year