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The following are examples of a company giving misleading price information except:

a) Bait and switch
b) Deceptive reference pricing
c) Truthful advertising
d) False discount claims

User Doniel
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1 Answer

4 votes

Final answer:

The example that is not an instance of misleading price information is c) Truthful advertising, as it is the only option without deceptive practices. It adheres to FTC guidelines, which allow advertising that is exaggerated or ambiguous but not false, and opposes untrue 'facts'.

Step-by-step explanation:

The question seeks to identify which example is not an instance of a company giving misleading price information. The options provided are a) Bait and switch, b) Deceptive reference pricing, c) Truthful advertising, and d) False discount claims. Of these, the correct choice is c) Truthful advertising, as it is the only option that does not involve any form of misleading or deceptive practice.



Under the oversight of the Federal Trade Commission (FTC), truthful ads are those that provide accurate information without exaggerations or ambiguous but not false claims, to prevent buyer deception. This aligns with the concept of 'caveat emptor' or 'let the buyer beware,' which reminds buyers to be vigilant when digesting advertisements. Other options such as bait and switch, deceptive reference pricing, and false discount claims are strategies that may involve untrue 'facts' about products or prices, which are not allowed by the FTC.

User Jackhao
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