Firms Competing in Industries Where Prices Change Frequently and Without

question 140

Multiple Choice

Firms competing in industries where prices change frequently and without notice, and where individual companies must react quickly to price changes, are likely to consider:

• A) employing price leadership
• B) establishing a one- price policy.
• C) developing a price- reaction programme.
• D) seeking government intervention.
• E) all of the above

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Definitions:

Basic Research

Research aimed at gaining more comprehensive knowledge or understanding of the subject without targeted applications towards processes or products.

Process Innovation

The implementation of a new or significantly improved production or delivery method in a business or industry.

Product Innovation

The process of developing and introducing new or significantly improved products to the market, enhancing variety, performance, or quality.

Invention

The creation of a new product, process, or method that has never been made before, through the use of imagination and ingenuity.