A manufacturer might try to defend itself against charges of illegal price discrimination by claiming that:
A) the price discrimination occurred as a defensive measure to "meet competition in good faith."
B) the price differentials did not actually injure competition.
C) the price differentials were justified on the basis of cost differences in production and/or distribution.
D) its products were not of "like grade and quality."
E) Any of these could make price discrimination legal.

Question

Quizplus · Accepted Answer

Each of the options (A through D) represents a legitimate defense a manufacturer might use to argue that its price discrimination practices were legal. These defenses include meeting competition in good faith, not injuring competition, cost justification, and differences in product grade or quality.

A Manufacturer Might Try to Defend Itself Against Charges of Illegal