1. Companies are beginning to create products for groups of people instead of trying to find the best product. They are realizing not everyone likes the same thing or that they don't really mean what they say the want. As Malcolm Gladwell said something about their brain not knowing what the tongue wants.
2. When prices between two products are close I choose the one I enjoy more. Whether it is a product that tastes better or something that is more useful. Take soda for example, some people are die hart Pepsi fans where others are all for Coke. Personally it doesn't matter to me, I do not see that much of a taste difference and usually go with the label I like better.
3. Monopolistic Competition occurs when many companies make similar products. Gas is an example of monopolistic competition because the product is the same but many companies compete for the right to sell it. It may be price, or convenience, or maybe the gas station just happens to be on the same side of the road but for whatever reason people choose one gas station over the other.
No comments:
Post a Comment