When the Price of a Gallon of Milk Increases by $0.50

Multiple Choice

When the price of a gallon of milk increases by $0.50, consumers notice this increase immediately. This is an example of what concept in the understanding of consumer price sensitivity.

A) Customers often miss the just noticeable difference.
B) Customers are less sensitive to disposable products.
C) Customers are most sensitive to products that are bought frequently.
D) Customers are most sensitive to food products.
E) Customers are most sensitive to grocery products.