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Quattro Is a Pizza Shop That Delivers Pizzas Without Any

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Quattro is a pizza shop that delivers pizzas without any extra charge. It also refunds the entire amount of the order when the pizza was not delivered within 30 minutes from the order placement. After two years it stopped this policy, but it still delivers pizzas without any extra charge. The fact that it stopped the policy of refunds in case of a delay of more than 30 minutes is an example of a _____ strategy.


Definitions:

MR

Marginal Revenue is the additional income generated from the sale of one more unit of a good or service.

Marginal Cost

The cost of producing one additional unit of a product, which varies depending on the level of production.

Marginal Revenue

The gain in revenue from disposing of one additional unit of a good or service.

Price Elasticity

An indicator of the responsiveness of the quantity of a product demanded to its price change, represented in terms of percentage variation.

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