Advertising that provides information about prices may increase competition.

Question

Quizplus · Accepted Answer

When a business provides information about its prices in advertising, it allows consumers to compare prices with other competitors. This information can lead to increased competition as consumers are more likely to choose the most affordable option. As a result, businesses may have to lower their prices or provide additional benefits to compete with their rivals, thus increasing competition in the market.

Advertising That Provides Information About Prices May Increase Competition