The value of a product is determined by the ratio of its quality to its price. The higher the value of a product, the better will be its competitive position. Therefore, either increasing the quality or lowering the price of a given product will increase the likelihood that consumer will select that product rather than a competing one.
Which of the following, if true, would most strengthen the conclusion drawn above
A．It is possible to increase both the quality and the price of a product without changing its competitive position.
B．For certain segments of the population of consumers, higher-priced brands of some product lines are preferred to the lower-priced brands.
C．Competing products often try to appeal to different segments of the population of consumers.
D．The competitive position of a product can be affected by such factors as advertising and brand loyalty.
E．(E) Consumers’ perceptions of the quality of a product are based on the actual quality of the product.
