Engel's law states that as income rises, expen ditures on luxury items go up and spending on necessities falls. In the maturity stage of the product life cycl e, some firms attempt to differentiate their products by focusing on attributes such as quality, reliability, and service. Product positioning refers to the consumer's p erception of a product's attributes, use, quality, and advantages and disadvanta ges relative to competing brands. The term wholesaler applies to intermediaries who do not take title to the products they handle. Brokers and agents usually take possession and title of the goods they handle.
Television is the dominant medium for adverti sing to local markets.
A skimming pricing strategy involves the use of low price relative to prices of competing products or services. A competitive pricing strategy shifts the emp hasis from price competition to nonprice factors. Fillmore Pharmaceuticals was recently approached by a large retail drug chain that wants its vitamin E to be marketed under the drug c hain's name. It is a certain guarantee of success.