Which pricing constraint is demonstrated by the following statement: "Most public utilities must petition regulatory commissions in order to obtain a rate increase"?
A)type of competitive markets
B)newness of product in the life cycle
C)demand for the product, class, or brand
D)costs of production

Question

Quizplus · Accepted Answer

This statement demonstrates a pricing constraint related to the type of competitive markets, specifically regulated markets where prices are controlled by regulatory commissions. Public utilities often operate in such markets and must seek approval for rate changes.

Which Pricing Constraint Is Demonstrated by the Following Statement: "Most