The Advantage of Offering a Price Promotion During Periods of Low

Multiple Choice

The advantage of offering a price promotion during periods of low demand to shift some of the demand into a slow period is

A) a demand pattern that is less expensive to supply.
B) very high inventory costs because inventory needs to be carried from period to period.
C) in the fact that a firm could get by with a smaller,more expensive factory.
D) much of the expensive capacity would go unused during most months when demand was lower.