Refer to Figure 14-5. If Netflix lowers its price, will this deter Spotify from setting up a streaming video service?

A) no, because Spotify will make a larger profit than Netflix if it chooses to compete
B) yes, because Spotify stands to lose $1 million if it competes with Netflix
C) no, because Spotify will make a profit if it competes with Netflix
D) yes, because Spotify will make a smaller profit than Netflix if it chooses to compete

C