If three pizza delivery companies agree that one company will service only the rural areas of a state, one only suburban areas, and the one only the urban areas, this is an example of_______ .
A)bid rigging
B)price fixing
C)monopolization
D)market division

Question

Quizplus · Accepted Answer

This scenario is an example of market division, where three companies agree to divide the market based on geographic areas. This can limit competition and choice for customers in each area. Bid rigging involves colluding to manipulate bidding processes, price fixing involves agreeing on prices to charge customers, and monopolization involves a single company dominating and controlling a market.

If Three Pizza Delivery Companies Agree That One Company Will