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When Entering a New Market,a Highly Competitive Discount Retail Chain

Question 2

Multiple Choice

When entering a new market,a highly competitive discount retail chain often cuts prices so deeply that it sells at below its cost,effectively pushing smaller companies with less purchasing power out of the market.The firm is at risk of being accused of ________.


A) market skimming
B) price-fixing
C) predatory pricing
D) deceptive pricing
E) price confusion

Correct Answer:

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