Price Modification Decision-Making Quiz

True or false: Economic factors concern the customer's awareness and knowledge of price levels and price meanings.

True or false: Competitive factors concern the actions that a company's competitors take in response to the company's price changes.

True or false: Emotional factors concern the amount of money involved in the price change and in responding to the price change.

True or false: The simplest measure of price elasticity is to calculate a ratio by dividing the size of the sales change by the size of the price change that caused it.

True or false: If a certain price change caused a small sales change, then the ratio of the sales change to the price change would be a large number.