Author Question: If a product has a list price of 25 and offers a wholesale trade discount of 59 and a retail trade ... (Read 314 times)

nramada · **on:** Jun 29, 2018

If a product has a list price of 25 and offers a wholesale trade discount of 59 and a retail trade discount of 40, the cost to the wholesaler is:
a. 14.75.
b. 4.75.
c. 10.25.
d. 10.00.
e. 3.75.

Question 2

Which form of test marketing is likely to reveal the least amount of information to potential competitors?
a. Controlled test marketing c. Simulated test marketing
b. Full test marketing d. Quasi test marketing

peter · **Reply #1 on:** Jun 29, 2018

Answer to Question 1

C

Answer to Question 2

C
Quasi test marketing is not a term used in this text. Simulated test marketing, typically recruits a sample of consumers to participate in a research study in a central facility. After responding to questions about their product related attitude and purchase behavior, they view advertising of the new brand (and of competitive brands). The respondents' preferences and buying behavior as they relate to the tested brands are then observed. Because simulated test marketing is limited to the central facility and products are not deployed to actual stores, the competition is unlikely to gain access to information.