Which of the following statements is not correct?
A)Critics of advertising argue that firms advertise to manipulate consumers' tastes.
B)Defenders of advertising argue that advertising provides valuable product information to consumers.
C)An industry with many brand name products will be more competitive than one with many generic products.
D)The willingness of a firm to spend a large amount of money on advertising can signal the quality of the product.

Question

Quizplus · Accepted Answer

An industry with many brand name products can actually be less competitive as it often results in higher prices due to the perceived value of the brand. An industry with many generic products can be competitive as they compete primarily on price.

Which of the Following Statements Is Not Correct