Despite the Gain from Higher Profits,firms Are Not Always Able

question 67

Multiple Choice

Despite the gain from higher profits,firms are not always able to price discriminate because

• A) they are unable to partition their customers into distinct groups.
• B) it is always illegal to price discriminate in the United States.
• C) they already hold a large degree of market power.
• D) they already provide their goods at the lowest-possible prices.
• E) they can easily determine each customer's reservation price.

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Definitions:

Ethical Responsibility

The duty to act in a morally upright manner, making decisions that reflect integrity and fairness while considering the impact on all stakeholders.

Legal Expectations

The standards and requirements established by law that individuals and organizations are expected to follow.

Moral Expectations

The anticipated standards of behavior based on ethical principles and societal norms.

Shared Value

Shared value is a business strategy focused on creating economic value in a way that also produces value for society by addressing its challenges and needs.