An electronic store advertises that customers can buy a specific cell phone for half its original price. when customers are drawn by the offer and enter the store, they get to know that the offer is valid only if they make a purchase of $200 or above. the store's manager notices that those customers who are merely interested in purchasing cell phones end up buying other products as well. in the context of persuasion, this scenario illustrates a) rosy retrospection b) belief perseverance c) the illusory truth effect d) the lowball technique

D) the lowball technique                

Explanation:

The answer is --

D) the lowball technique                

                In the scenario, the shopkeeper advertises that customers can buy cell phone for half its price. And when thee customers came to buy the cell phones they came to the hidden fact that the cell phones are available at half its price only with purchase of $200 or above. At last the customers who came to buy cell phones ended up buying other products in order to purchase the cell phone at half price.

               This persuasive tactic in the business world is called "the low ball technique".

               In this technique, customers are attracted to purchase an item for a discount at the cost of or at the purchase of other items.      

Thus the answer is --

 D) the lowball technique    

marginal cost is a microeconomic measure that us to evaluate the extent to which the level of production of a good is sustainable in accounting, that is, to how many quantities the company plans to profit from the production of the good.

the concept of marginal cost is simple, it means the cost of producing one more item. for example, in the case of pies, the marginal cost is the cost of producing one more pie than those that have already been produced.

it is important to understand that productive activity influences marginal cost. the marginal cost of some goods can be very high, while others may be insignificant. for example, the marginal cost of producing an extra plane is very high. already the marginal cost of a water company to provide 1l more water is derisory.

in the case of pies, the cost involves the inputs, the labor and the fixed cost, which involves the fixed space of the bakery. the level of production initially has the marginal cost decreasing because there is space and manpower available. however, to produce more you have to hire more workers and buy more inputs. if physical space is limited, workers will conflict with places, inputs and their productivity will decrease, meaning there is an optimum point of production for each level of space and manpower. from this point on, the productivity of the workers will be getting smaller because of lack of space, so that the marginal cost of producing one more pie will be increasing. so, although you have not posted the chart, but if you have the answer, you can see that my explanation goes according to the marginal cost curve that will increase from the 4th pie, answer (c).

was the answer correct?