What might happen if a car dealership is awarded a bonus by the manufacturer for selling a

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What might happen if a car dealership is awarded a bonus by the manufacturer for selling a certain number of its cars monthly, but the dealership is just short of that quota near the end of the month?

a. It may sell the remaining cars at huge discounts to hit the quota.

b. It creates an incentive to sell cars from different manufacturers.

c. It would ruin the relationship between the dealer and the manufacturer.

d. Potential buyers will lose buying power at the dealer.

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Managerial Economics

ISBN: 9781337106665

5th Edition

Authors: Luke M. Froeb, Brian T. McCann, Michael R. Ward

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Question Posted: Jul 08, 2020 02:35 AM

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What might happen if a car dealership is awarded a bonus by the manufacturer for selling a

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A It may sell the remaining car...View the full answer

Managerial Economics

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