Question

How does availability of complements act as a value driver?

A) By reducing overall demand for the product
B) Enhancing the perceived value of the primary product
C) Irrelevant to the overall value of a product
D) Decreasing the desirability of the primary product

Answer 1

The availability of complements acts as a value driver by enhancing the perceived value of the primary product.

Step-by-step explanation:

In economics, the availability of complements can act as a value driver by enhancing the perceived value of the primary product. Complements are goods that are often used together and consuming one good tends to enhance consumption of the other. For example, the consumption of breakfast cereal and milk are often paired together. If the availability of milk, which is the complement to breakfast cereal, increases or becomes more accessible, it enhances the perceived value of the cereal itself.