It May Be Necessary to Follow a Competitor's Price Rise

question 85

Multiple Choice

It may be necessary to follow a competitor's price rise when there is(are) _______.

• A)falling costs
• B)excess demand
• C)excess supply
• D)price insensitive customers

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Definitions:

Economic Efficiency

A state where resources are allocated in a way that maximizes the production of goods and services at the lowest cost, optimizing welfare or profit.

Consumer Protection

Laws and regulations intended to safeguard buyers of goods and services from unfair, deceptive, or harmful practices by sellers.

Whistle-blower

An individual who exposes illegal, unethical, or wrong practices within an organization to the public or to authorities.

Additives

Substances added to products, such as food or fuel, to enhance their properties or preserve their quality.