How Do Firms That Use Captive-Product Pricing Make Up for the Low

question 5

Multiple Choice

How do firms that use captive-product pricing make up for the low prices of their main products?

• A) They reduce the cost of the captive products.
• B) They provide the captive products as freebies.
• C) They set high markups on the captive products.
• D) They increase the price of the main products.
• E) They offer the captive products and main products together at a reasonable price.

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Definitions:

Effort

The amount of energy, time, and resources that an individual invests in completing a task or achieving a goal.

Goals

Targets or desired outcomes that an individual, group, or organization aims to achieve.

Effort

The amount of physical or mental energy applied to achieve a task or goal.

Persistence

The quality of continuing steadfastly or firmly in a course of action in spite of difficulty or opposition.