value of product

[dshweta]

The value of a product is determined by the ratio of its quality to its price. The higher the value of a product, the better will be its competitive position. Therefore, either increasing the quality or lowering the price of a given product will increase the likelihood that consumer will select that product rather than a competing one.
Which of the following, if true, would most strengthen the conclusion drawn above?
(A) It is possible to increase both the quality and the price of a product without changing its competitive position.
(B) For certain segments of the population of consumers, higher-priced brands of some product lines are preferred to the lower-priced brands.
(C) Competing products often try to appeal to different segments of the population of consumers.
(D) The competitive position of a product can be affected by such factors as advertising and brand loyalty.
(E) Consumers’ perceptions of the quality of a product are based on the actual quality of the product.

[JustMe123]

E - the perfect answer

[r4rohini]

even i go with E

[animesh]

I will go with E.

Only if (E) Consumers’ perceptions of the quality of a product are based on the actual quality of the product is true can the conclusion either increasing the quality or lowering the price of a given product will increase the likelihood that consumer will select that product rather than a competing one be strengthened.

[ap1010]

I would go with B.

[ap1010]

I would go with B.

As this is the only option which strengthen that competitive position is determined by higher- price rather than anything else.

[nagar]

my pick is E

[plvprasad]

Has to be E.

[animesh]

I would go with B.

As this is the only option which strengthen that competitive position is determined by higher- price rather than anything else.

And what about the quality?
Even that is a factor in deciding what the customer wants.

[hasnathullah]

The answer is either E or A
wats the Official Answer anyways