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5 votes
If promotion stimulates demand, it is entirely possible that it will lead to lower prices for consumers.

a. True b. False

asked
User Rfanatic
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1 Answer

4 votes

Final answer:

The statement is true. A successful promotion can stimulate demand and lead to lower prices for consumers.

Step-by-step explanation:

The statement provided is true.

In economics, a promotion is a marketing strategy used to stimulate demand for a product or service. When a promotion is successful, it can lead to an increase in demand, which may result in lower prices for consumers.

For example, if a company offers a promotional discount on a product, it can attract more customers and increase demand. As a result, the company may be able to negotiate lower prices with suppliers or benefit from economies of scale, allowing them to pass on the cost savings to consumers by reducing the price of the product.

answered
User Bmc
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