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A Manufacturer May Feel It Needs to Control Resale Price

Question 23

Multiple Choice

A manufacturer may feel it needs to control resale price for all of the following reasons except:


A) Its strategy uses price to convey a high-quality product image.
B) It believes price wars will lead to unstable conditions for the whole channel.
C) It needs to ensure adequate margins so channel members will provide a high level of service.
D) It needs all channel members to perform in a specific manner in order to meet strategic objectives.
E) Stable prices are in the best long-run interest of the firm.

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