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MBA 706 Module 7 Exam questions and answers with
complete solutions verified latest update 2025/2026
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Terms in this set (247)
formula for profit sales revenue - costs
formula for sales revenue sales volume x price
formula for costs variable costs + fixed costs
full profit formula (sales volume x price) - [variable costs (unit cost x sales
volume) + fixed cost]
what is ultimate marketing growing profit
goal
to increase profitability, increase
what can companies sales
do volume
change
prices
decrease cost
- grow overall market or grow company's
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market share (up sell current customers to
more expensive offerings, get customers to buy
more frequently, steal customers
from competitors, pursue another segment)
to grow sales volume, - create new products
what can companies do - reduce brand switching by enhancing brand
- raise customer satisfaction
- add value through a loyalty program
- raise switching costs so leaving brand is unattractive
- cut prices (may bring volume in short term
but may damage brand image/equity, may
to change prices, what create price wars, lower price necessitates
can companies do higher volume)
- raise prices (yields greater margins, cues high
quality, may need to shift to a more upscale
target)
to decrease variable find less expensive suppliers
costs, what can outsource parts of business to partners who are more
companies do efficient
become a niche provider to keep units down and price
higher for special customers
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