Southwest Airlines began offering sales on flights to South America and Europe. It started promoting these lower-cost flights heavily on television and in print. Not to be outdone, American Airlines started offering its own sales at prices even lower than Southwest Airlines. This refutes which of the following criticisms of promotion?

Question

Quizplus · Accepted Answer

The scenario shows that promotion can lead to lower prices due to increased competition, refuting the criticism that promotion increases prices.

Southwest Airlines Began Offering Sales on Flights to South America