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Clove, a Fitness Centre, Opens a New Gym in Boston

question 127

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Clove, a fitness centre, opens a new gym in Boston. Two gyms already exist around the same locality. To attract customers and drive its competitors out of business, Clove, offers a very low enrolment and monthly fee. The owners of the other gyms meet with the director of Clove to negotiate. Finally, all three gyms collude and decide to fix a standard enrolment and monthly fee that customers will have to pay. They also decide to charge a higher fee for men because they spend greater time in the gym.
-All the gyms collude and decide to control the enrolment and monthly fee payable by customers.This is an example of:


Definitions:

Theory Of Mind

The ability to attribute mental states—beliefs, intents, desires, emotions, knowledge—to oneself and to others and to understand that others have beliefs, desires, and intentions that are different from one's own.

Individuality

The quality or character of being individual; a distinct personality that sets one person apart from others.

Differences

Distinctions or variations between two or more entities or phenomena.

Metacognition

Self-awareness of cognitive functions, commonly defined as "reflecting on one's thoughts."

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