The Pricing Strategy in Which One Firm Is Allowed to Establish

question 56

Multiple Choice

The pricing strategy in which one firm is allowed to establish the market price for all firms in the market is called

• A)Price discrimination.
• B)Price leadership.
• C)The profit-maximizing rule.
• D)Marginal cost pricing.

---

Definitions:

Oxygen

A chemical element with the symbol O and atomic number 8, essential for respiration in most terrestrial life forms and used in various industrial applications.

Capacity Constraint

A limit to the amount of goods or services that can be produced or provided due to physical or resource limitations.

Arizona

A state in the southwestern region of the United States known for its desert landscape and the Grand Canyon.

Plant Capacity

The maximum output or producing ability of a facility, plant, or machine.