Having a competitive price is likely to
A) be more important for a homogeneous shopping product than for a specialty product.
B) be more important for a heterogeneous shopping product than for a homogeneous shopping product.
C) be more important for an emergency product than for a staple.
D) keep a product from falling into the "unsought" product class.
E) None of these alternatives is correct.

Question

Quizplus · Accepted Answer

Homogeneous shopping products are products that are similar in quality and features across different brands. In such a scenario, price becomes an essential factor for customers to decide which brand to choose. Hence, competitive pricing is more important for a homogeneous shopping product. On the other hand, specialty products have unique features, which makes their customers less price-sensitive, and so competitive pricing is less critical.

Having a Competitive Price Is Likely to