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Kellogg's Has Several Cereals Targeted at Different Types of Users

Question 168

Multiple Choice

Kellogg's has several cereals targeted at different types of users.This is an example of multiple products aimed at multiple markets.Manufacturing these different cereals is clearly more expensive than producing one,but seems worthwhile if it serves customers' needs better,doesn't reduce quality or increase price,and


A) conforms to all FDA guidelines.
B) adds to the manufacturer's sales revenues and profits.
C) creates economy of scale.
D) decreases the cost of the physical plant.
E) stabilizes the sales revenues and profits.

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