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Pepsi uses advertising to create the impression that Pepsi is superior to any other soft drink.
Pepsi is attempting to:
A) sell less Pepsi so they can raise the price of Pepsi.
B) differentiate Pepsi from other types of soft drinks.
C) convince consumers that Pepsi is identical to other soft drinks.
D) lower the marginal cost of producing for Pepsi.
Solution
B) differentiate Pepsi from other types of soft drinks.

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