ECONOMICS
COMPETITION AND MARKET STRUCTURES
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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lose customers.
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attract customers through style, service, or location, but not lower prices.
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make products different.
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make make more products.
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Detailed explanation-1: -Non-price competition is a strategy that implies attracting customers and increasing sales by providing superior product quality, a unique selling proposition, a great location, and excellent service rather than lower prices. It helps brands stand out and win new consumers.
Detailed explanation-2: -Non-price competition typically involves promotional expenditures (such as advertising, selling staff, the locations convenience, sales promotions, coupons, special orders, or free gifts), marketing research, new product development, and brand management costs.
Detailed explanation-3: -Non-price competition can include quality of the product, unique selling point, superior location and after-sales service.
Detailed explanation-4: -Non price competition will increase the demand for the product by shifting the demand curve to the right. Consumers are more willing to buy more of the good. This reduces the demand for competitiors products and so their demand curve shifts to the left.
Detailed explanation-5: -The most common or basic form of non-price competition is advertising. Non-price competition in economics consists of expenditures that are promotional such as sales promotion, coupons, advertising, and others. Also, it consists of the development of the new products, marketing research, and costs of brand management.