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ElectroMax,a Manufacturer of High-End Cell Phones,is Planning to Enter the Indian

Question 59

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ElectroMax,a manufacturer of high-end cell phones,is planning to enter the Indian market.A senior manager thinks that a stripped-down,low-priced model should be the starting point,and the company can sell additional features added to the base model at higher price points.Analysis reveals that if ElectroMax offers Indian customers products at a number of different price points,the company would initially earn more profit but would run the risk of damaging the brand in the long term.Which of the following would support the argument that ElectroMax should offer products at multiple price points?


A) One of the company's core values is to offer only the most advanced technology in the products it sells.
B) Shareholders of ElectroMax are motivated mainly by short-term profits.
C) ElectroMax's competitors have adapted their products for sale in the Indian market.
D) Indian customers are becoming increasingly selective about the brands they are willing to purchase.
E) The Indian middle class is rapidly reaching a level where they can afford premium products.

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