A firm that uses profits earned in one market to sell a product or service below its average variable cost in another market is engaged in

Name: A firm that uses profits earned in one market to sell a product or service below its average variable cost in another market is engaged in
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Predatory pricing occurs when a firm uses profits from one market to subsidize selling a product below its average variable cost in another market, with the intention of driving competitors out of that market.

A Firm That Uses Profits Earned in One Market to Sell