When consumers are unable to judge the quality of a product through examination or prior experience,they usually do which of the following and assume that the higher- priced product is the higher- quality product?
A)experience an assimilation effect
B)make a price- quality inference
C)depend on an internal reference price
D)experience a price- placebo effect
E)assess the fair price

Question

Quizplus · Accepted Answer

Consumers often make a price-quality inference, assuming that a higher-priced product is of higher quality when they cannot judge the quality through examination or prior experience.

When Consumers Are Unable to Judge the Quality of a Product