Which one of the following statements is correct? A loss leader:
A)is a product or service provided at less than cost, in order to attract customer attention
B)is a product or service that makes a greater loss to its provider than any other product or service
C)describes the principal supplier of a product or service in a market where most suppliers make losses
D)is none of the above

Question

Quizplus · Accepted Answer

A loss leader is a product or service provided at less than cost, in order to attract customer attention. The idea is that the loss incurred through selling the product at a discount will be made up for by increased sales of other profitable products.

Which One of the Following Statements Is Correct? a Loss