A situation where products are bought in a lower-priced country from a manufacturer's authorized reseller, shipped to higher-priced countries, and sold through unauthorized channels of distribution below the manufacturer's suggested retail price is referred to as a:
A)Black market
B)Monopolized market
C)Grey market
D)Globalized market

Question

Quizplus · Accepted Answer

This situation is referred to as a grey market. In a grey market, genuine products are sold through unauthorized channels of distribution, often at a lower price than the manufacturer's suggested retail price, because they were bought from a lower-priced country. It is different from a black market, which involves the sale of illegal or counterfeit goods, and a monopolized market, which involves a company having control over the supply of a particular product or service. The term globalized market may refer to a market that has become interconnected and borderless, but does not specifically describe this situation.

A Situation Where Products Are Bought in a Lower-Priced Country