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A Company Manufacturing Shampoo Charges a Low Price to Customers

Question 39

Multiple Choice

A company manufacturing shampoo charges a low price to customers who buy sachets on the premise that these customers belong to lower income groups and are more price sensitive.On the other hand, it charges higher prices to customers who purchase the same shampoo in bottles.This is an example of:


A) predatory pricing.
B) vertical price fixing.
C) horizontal price fixing.
D) price discrimination.
E) bait and switch.

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