Which of the following is defined as the degree of overlap between two rivals' markets?
A) Cross-market retaliation
B) Market commonality
C) Multimarket competition
D) Mutual forbearance

Question

Which of the following is defined as the degree of overlap between two rivals' markets? 
A) Cross-market retaliation 
B) Market commonality 
C) Multimarket competition 
D) Mutual forbearance

Quizplus · Accepted Answer

Market commonality is defined as the degree of overlap between the markets served by two competitors. It is one of the four components of multimarket competition, which refers to the situation where two or more firms compete against each other in multiple markets simultaneously. Cross-market retaliation refers to a firm's decision to attack a rival in one market in response to the rival's attack in another market. Mutual forbearance refers to a situation where two or more firms choose not to compete aggressively against each other, usually because they have a history of collaboration or mutual respect.

Which of the Following Is Defined as the Degree of Overlap