Author Question: Which of the following is not a potential reaction by channel managers to a manufacturer's cut in ... (Read 53 times)

mynx · **on:** Jun 29, 2018

Which of the following is not a potential reaction by channel managers to a manufacturer's cut in price?
a. The price cut may decrease sales volume and profits.
b. The price cut may affect the product's quality image, so channel managers may become reluctant to deal with the product.
c. Channel managers may be concerned about the image of their own firms.
d. They may be concerned about a loss of inventory value.
e. Channel managers may be concerned about future pricing policies.

Question 2

Which type of country is most likely to be a lead country in terms of product diffusion?
a. An industrialized, high-income country.
b. A middle-income country.
c. A low-income country.
d. An underdeveloped country.

ntsoane kedibone · **Reply #1 on:** Jun 29, 2018

Answer to Question 1

A

Answer to Question 2

A
High-income, industrialized countries are most likely to be lead countries. Consumers in these markets are wealthy (compared to other markets) and can afford to adopt products early in the product life cycle. Industrialized countries are also more likely to have marketing vehicles that allow marketers to promote new products and services. This may be found in the Product Diffusion section (10-5).