According to the textbook, which of the following statements about advertising is (are) correct? (x) In differentiated product markets that are characterized by advertising, evidence suggests that markets are more efficient in these markets than those that prohibit advertising. (y) Defenders of advertising would argue that advertising conveys useful information to potential consumers about style, design, taste, prices, location and/or existence of new products. (z) Critics of markets that are characterized by firms that sell "brand" name products argue that brand names encourage consumers to pay more for branded products that are not distinguishable from generic products.
According to the textbook, which of the following statements about advertising is (are) correct? (x) In differentiated product markets that are characterized by advertising, evidence suggests that markets are more efficient in these markets than those that prohibit advertising. (y) Defenders of advertising would argue that advertising conveys useful information to potential consumers about style, design, taste, prices, location and/or existence of new products. (z) Critics of markets that are characterized by firms that sell "brand" name products argue that brand names encourage consumers to pay more for branded products that are not distinguishable from generic products.
Chapter17: Advertising And Public Relations
Section: Chapter Questions
Problem 1DYMP
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According to the textbook, which of the following statements about advertising is (are) correct?
(x) In differentiated product markets that are characterized by advertising, evidence suggests that
(y) Defenders of advertising would argue that advertising conveys useful information to potential consumers about style, design, taste, prices, location and/or existence of new products.
(z) Critics of markets that are characterized by firms that sell "brand" name products argue that brand names encourage consumers to pay more for branded products that are not distinguishable from generic products.
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