Consumers are less price sensitive when ________.
A) price is only a small part of the total cost spent on the product over its lifetime
B) they perceive the higher prices to be unjustified
C) they change their buying habits regularly
D) there are many substitutes and competitors in the market
E) they are buying high-cost items

Question

Quizplus · Accepted Answer

When price is only a small part of the total cost spent on the product over its lifetime, consumers are less price sensitive because they are more concerned about the long-term value and benefits of the product rather than just the initial cost.

Consumers Are Less Price Sensitive When ________