Why Is Dual Pricing Not Widely Used in Practice

question 24

Multiple Choice

Why is dual pricing not widely used in practice?

• A)It increases goal congruence.
• B)The manager of the supplying division does not have sufficient incentive to control costs.
• C)Managers are not insulated from the frictions of the market place.
• D)Both B and C are correct.

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Definitions:

Dogmatism

Cognitive style that is rigid and intolerant and predisposes people to be prejudiced.

Authoritarian Personality

Personality syndrome originating in childhood that predisposes individuals to be prejudiced.

Rigidly Defined Rules

Refer to rules that are strictly specified and allow little to no flexibility in their application or interpretation.

Western Society

Western society refers to societies that are based on the cultural values and social norms that originated in Western Europe, characterized by democratic principles, individualism, and technological advancement.