_____ involves temporarily setting a price below cost to broaden demand for a product and injure competition.
A) Price discrimination
B) Predatory pricing
C) Loss leader pricing
D) None of the above

Question

Quizplus · Accepted Answer

Predatory pricing is the strategy of setting prices low with the intent to eliminate competition or discourage new entrants into the market. This can involve selling a product at a loss temporarily to undermine competitors' financial viability.

_____ Involves Temporarily Setting a Price Below Cost to Broaden