By showing your colleague that the conclusions of your analysis regarding the optimal pricing strategy for the firm would be the same under a variety of different assumptions regarding the price response of competitors is an example of:
A) direct proof.
B) selection bias.
C) robustness.
D) degree of support.

Question

Quizplus · Accepted Answer

The scenario described is an example of robustness, which refers to the ability of a conclusion to hold true even under different assumptions or scenarios. By showing that the optimal pricing strategy remains the same under various assumptions about competitor response, the analysis demonstrates that the conclusion is robust and not dependent on a specific set of assumptions.

By Showing Your Colleague That the Conclusions of Your Analysis