A convenience store is generally able to charge and obtain a higher price for its candy bars than Walmart because the convenience store
A) differentiates based on style.
B) differentiates based on location.
C) differentiates based on quality.
D) advertises that its candy bars are identical to those sold at Walmart.
E) differentiates based on high barriers to entry,such as patents.

Question

Quizplus · Accepted Answer

The convenience store differentiates itself based on location since it is more convenient for customers to purchase candy bars from a store that is easily accessible and closer to them. This justifies the higher price.

A Convenience Store Is Generally Able to Charge and Obtain