When LofoniftInc. introduced its flagship product, an MP3 player, it captured the MP3 player market by offering its product at the lowest price in the market.This forced many of its competitors out of business
In this scenario, LofoniftInc. most likelyindulgedin _____.
a. predatory pricing
b. price discrimination
c. status quo pricing
d. price fixing
ANSWER: a
LofoniftInc. most likelyindulgedinpredatory pricing. Predatory pricing is the practice of charging a very low price for a product with the intent of driving competitors out of business or out of a market.
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How can a company turn an unhappy customer in to a brand advocate?
A) By responding on social media tools B) By granting the claim or request C) By explaining how the customer was at fault D) By resolving issues quickly E) By allowing the customer to post feedback on social media outlets such as Yelp
Using Table 7.9, if the project's normal earliest completion time is to be reduced by two weeks, what is the minimum additional cost that will be incurred in achieving this two-week reduction?
A) less than or equal to $1,000 B) greater than $1,000 but less than or equal to $1,500 C) greater than $1,500 but less than or equal to $2,000 D) greater than $2,000