The Pacific Corporation desires to break into the Japanese market. In order to accomplish this goal, the firm sells to its offshore subsidiaries at a lower price than it charges in Australia. This action would be described as:

Question

Quizplus · Accepted Answer

This action is called dumping, which is the practice of selling goods in a foreign market at a price lower than what is charged in the home market. This can lead to unfair competition and harm domestic producers in the foreign market.

The Pacific Corporation Desires to Break into the Japanese Market