According to "Coke and Pepsi May Call Off Pricing Battle," price discounting (price wars)can destroy oligopoly profits.When profit destruction occurs,

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When profit destruction occurs due to price discounting, rival oligopolists seek to end it as quickly as possible. This is because price wars are not sustainable in the long run and can lead to a loss of profits for all firms involved. Therefore, the best option for firms is to coordinate and find a way to end the price war.