Final answer:
True, test marketing is used by companies of all sizes primarily because of the perceived risk of product failure on the open market and the associated consequences.
Step-by-step explanation:
True, test marketing is used by companies of all sizes primarily because of the perceived risk of product failure on the open market and the associated consequences. Test marketing is a strategy in which a company introduces a product to a limited market in order to gauge its potential success before fully launching it. By conducting test marketing, companies can gather feedback, identify potential issues, and make necessary improvements before going to the open market.