​The Conditions in Which Vertical Relationships Can Enhance a Firm's

question 3

Multiple Choice

​The conditions in which vertical relationships can enhance a firm's ability to price discriminate include

• A)​the manufacturer's product is of value to just one type of customer
• B)the costs of arbitraging the price difference across markets is large
• C)the manufacturer acquires the distributer in the higher priced market
• D)​lack of competition provides the manufacturer with the ability to price above marginal cost

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