Both Tom's Car Repair and Fast Engines. incur a cost of $9,000 to manufacture a vehicle. However, the economic value created by Fast Engines. is more than that created by Tom's Car Repair. What does this indicate

Question

03-07-2021
Business

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Both Tom's Car Repair and Fast Engines. incur a cost of $9,000 to manufacture a vehicle. However, the economic value created by Fast Engines. is more than that created by Tom's Car Repair. What does this indicate

Sagot :

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topeadeniran2 topeadeniran2 · Answer 1 · 2021-07-11T23:40:55-04:00

Answer: Fast Engines can change a premium price on its automobiles

Explanation:

Premium pricing refers to a when the price of a particular product or service is kept high artificially high so as to encourage a favorable perceptions among the buyers.

Since Tom's Car Repair and Fast Engines. incur a cost of $9,000 to manufacture a vehicle but the economic value created by Fast Engines. is more than that created by Tom's Car Repair, then it shows that fast Engines can change a premium price on its automobiles.

Sagot :

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