Home › BBA Marketing › Marketing › Creating Products and Pricing Strategies › What is the key difference between a consumer pr…
What is the key difference between a consumer product and a business product?
AThe price paid for the item at the time of purchase
BThe intended use to which the item will be put
CThe brand name that is printed on the packaging
DThe country in which the item was manufactured
Answer & Solution
Correct answer: B. The intended use to which the item will be put
1. The same physical item can be a consumer good or a business good.
2. The key difference is the intended use to which the item will be put.
3. A computer bought for the home is a consumer good, while the identical computer bought for a company is a business good.
4. Price, brand and country of manufacture do not change which class the item falls into.
_Source: OpenStax Introduction to Business (CC BY 4.0), Ch 11 "Creating Products and Pricing Strategies to Meet Customers' Needs", section 11.4 Buyer Behavior_
Related questions
Big data and analytics are used to provide consumers with which two things?Big data refers to which of the following?Database marketing is sometimes given which other name?What does the information in a marketing database help managers do?One-to-one marketing means creating what?What are shopbots?How does online technology help sellers rather than buyers?What effect has the internet had on pricing power?