There Are Multiple Models of Pricing Behavior in Oligopolistic Markets

question 36

Multiple Choice

There are multiple models of pricing behavior in oligopolistic markets because

• A)it is difficult to predict how rival firms will react to any pricing decision
• B)the demand curve slopes upward for these firms
• C)firms could earn profit in the long run unlike other markets
• D)price has a direct impact on profit for a firm in oligopoly
• E)the products are not identical in terms of quality, image, location

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Definitions:

Employees

Individuals who are hired by an organization to do specific work in exchange for compensation.

Time Consuming

Describes tasks or activities that require a large amount of time to complete.

Situational Model

A framework that analyzes behavior based on the situation and the individual's personality and emotions.

Participation

Involves active involvement and engagement in activities or processes, often within a group or organizational context.