The fact that grocery stores and convenience stores sell physically identical products for different prices is a violation of the "law of one price."

Question

Quizplus · Accepted Answer

The "law of one price" states that identical goods should have the same price in different markets. However, grocery stores and convenience stores often have different costs of operation, logistics, and overhead, which can result in different prices for the same product. Additionally, factors such as location and profitability goals can also influence pricing. Therefore, selling physically identical products for different prices is not necessarily a violation of the "law of one price."

The Fact That Grocery Stores and Convenience Stores Sell Physically