If a firm exceeds its target market's price ceiling for a product, consumers will most likely
A) purchase all the firm's products at the specified price.
B) purchase some of the firm's products at the specific price.
C) not make any purchases at this price level.
D) bargain with the firm for lower prices.

Question

Quizplus · Accepted Answer

When a firm exceeds its target market's price ceiling, it means the price is higher than what consumers are willing to pay. As a result, consumers are most likely not to make any purchases at this price level.

If a Firm Exceeds Its Target Market's Price Ceiling for a Product