Vincent Cosmetics decides to launch a cream with a claim that it made skin “nine times
smoother.” The claim is based on a study of thirty respondents who used products of
other brands as well. However, a second study on a larger sample reveals only a mild
correlation between the use of the cream and smoother skin. In these circumstances,
which of the following is the most ethical approach that Vincent Cosmetics can follow?
A) It should market the product as planned with the promotional line of “nine times
smoother.”
B) It should modify the results of the study to depict a strong correlation.
C) It should report the result as it is, or improve the product to match its claim.
D) It can continue to claim a high correlation and add a tag line saying “results may
vary.”
E) It should feature a testimonial from a satisfied user in an advertisement to support its
claim.
Which of the following pricing strategies is the opposite of FOB-origin pricing?
A) basing-point pricing
B) dynamic pricing
C) uniform-delivered pricing
D) freight-absorption pricing
E) zone pricing