Price utility refers to the value a consumer places on a product based on its affordability and the price at which it is offered, making it a key factor in purchasing decisions.
Choose the most appropriate answer from the options given below:
1
Price utility is directly influenced by the perceived quality and not by the price alone.
2
The statement is correct, as price utility influences purchasing decisions by reflecting product affordability.
3
Price utility is only relevant in industries with low competition.
4
The statement is incorrect because price utility refers solely to the economic benefit gained from a product.
5
Price utility is irrelevant in the decision-making process for luxury goods.