When introduced in the late 1970s, personal computers had large initial demand. People were interested in buying them to make writing and editing easier. The earliest simple PCs were initially priced at around $2,500. The manufacturers of the first PCs were probably using a cost oriented pricing strategy. *

3 points

True

False

When a wireless company advertises a low list price that includes free roaming, free weekends, and free long distance as additions to the regular 400 monthly minutes for $35, it is using advertising and personal selling as main communication tools. *

3 points

True

False

Target costing requires determining the price consumers will pay after producing the good or service. *

1 point

True

False

When Toyota offers a Corolla model that includes air, automatic transmission, a CD player, and custom paint at a competitive price worldwide, it is ignoring environmental influences on pricing decisions. *

3 points

True

False

In many parts of the world, McDonald's utilizes TV advertising that shows parents interacting with their happy children. Such advertising utilizes dramatic appeal. *

1 point

True

False