Chapter 5.1, Problem 3R

To determine

To Discuss: The importance of comparison food shopping in trade offs

Explanation of Solution

Following are the different trade-offs involved in comparison food shopping:

• These refers to doing only the particular amount of shopping that time and therefore the transportation cost justify, reading store and manufacturer advertisements, comparing stores and comparing the brands.
• Trade-off in buying food products is that there price may be lower and quantity may be greater but the quantity may be less.
• Higher the quality standards to build reputation, therefore the more will be the quality control and assurance costs.

Economics Concept Introduction

Introduction:

Comparison food shopping involves making comparison among brands and sizes and it also compares as from where to shop. Comparison shopping is beneficial when buying expensive items that are often purchased or the items whose prices are high.

Comparison shopping is not just limited to products, it is also based on research and compares companies that provides services like; utilities, telephone, cable and internet.

Trade-off comparison shopping is going too far to save too few cents, spending too much time comparing shopping for food.