Question 38
MarketingUse the information below to answer questions 38 and 39.
Companies I, II, III and IV produce and sell electronic videos. Company I sells its videos for ₦14 000 each and offers advice on how to fix and operate them. Company II sells at ₦14 000 and its represenatives go to install at no additional cost. Company III sells at ₦15 500 and offers credit sales at ₦15 500 per video while company IV sells at ₦15 000 each.
Which of these companies are more engaged in public relations activities?
- A.I and II
- B.I and III
- C.II and IV
- D.III and IV.
Show the answer and explanation
Answer: A (I and II)
Explanation
Companies I and II build goodwill with free advice and free installation; III and IV compete only on price or credit.