In marketing, customer value is generally understood as the difference between:
Correct answer: A. Perceived benefits and perceived costs
- A. Perceived benefits and perceived costs
- B. Sales revenue and production volume
- C. Market share and competitor size
- D. Product features and promotional spending
Explanation
Customer value reflects the benefits a buyer believes will be received compared with the total costs of obtaining and using the offering. Costs include more than price, such as time, effort and risk.
Last updated
About Marketing
Marketing covers how organisations identify customer needs, create value and exchange products or services through suitable markets. Key concepts include market segmentation, targeting, positioning, consumer behaviour, the marketing mix of product, price, place and promotion, branding, product life cycle and differences between marketing and selling.
Practise Marketing
80 free Marketing MCQs from Management Sciences, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Exams that ask Management Sciences questions like this
Management Sciences is on 2 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
Related questions
A business focuses on maintaining long-term customer relationships through service, trust and repeated interaction. Which concept does this represent?
A business sells machinery to factories, and the purchasing decision is made by a committee representing production, finance and procurement departments. This market is best described as:
A clothing company divides its market into groups based on age, gender and income. Which basis of segmentation is it using?
A company changes the colour, design and packaging of an existing product while keeping its basic function unchanged. Which product strategy is this?
A company checks that its promotional claims are truthful and do not mislead buyers. This practice most directly reflects: