In One of Its Least Favourite Actions, Amazon

question 27

Multiple Choice

In one of its least favourite actions, Amazon.com was caught fiddling with its price tags. Avid Blu-Ray shoppers found that the online store was offering different customers different prices for the same Blu-Ray, and complained vociferously. Amazon was caught red-handed. It was, company officials admitted, trying to see how much it could charge for an item before shoppers balked. No matter what the reasoning behind it, Amazon.com was using:

• A)predatory pricing.
• B)price discrimination.
• C)resale price maintenance.
• D)horizontal price fixing.

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Definitions:

Supply Chain

The network of all the individuals, organizations, resources, activities and technology involved in the creation and sale of a product, from the delivery of source materials from the supplier to the manufacturer, and eventually to the end user.

Ethics

The moral standards expected by a society.

Moral Standards

The principles that govern the behavior of individuals and institutions regarding what is right and wrong.

Society

A group of individuals involved in persistent social interaction, or a large social group sharing the same geographical or virtual territory, typically subject to the same political authority and dominant cultural expectations.