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In a Bertrand Duopoly with Product Differentiation,explain How a Change

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Essay

In a Bertrand duopoly with product differentiation,explain how a change in one firm's marginal cost can have an effect on the price charged by the other firm.


Definitions:

Functionality

Describes the range of operations that can be performed by a product, system, or service, especially according to its designed specifications.

Product Line

A group of related products under a single brand sold by the same company.

Product Mix

The combination of all the products a company sells.

Marketing Mix

A framework used by marketers consisting of the four Ps: Product, Price, Place, and Promotion.

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