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Scenario 4-2. Petro is considering opening a new small business called Petro's Playground. It will be an inside playground with climbing equipment, jungle gym, pit of balls, slides, and swings. Petro's closest competition has been in business for four years and provides quality service along with the fun of the playground. The competition is located four miles away in a large city and Petro is hoping to acquire some of his competition's market share by providing lower prices and more diversity in playground equipment.
-In Scenario 4-2 above, Petro plans on keeping his prices

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Petro plans on providing lower prices than the competition, but it is not specified if it will always be lower. Additionally, the goal is to acquire some of the competition's market share while still making a profit, so Petro's prices will have to allow for a gross margin that allows profit. Therefore, the best choice is C.

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