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Which of the Following Statements Is True Regarding Preannouncements

Question 34

Multiple Choice

Which of the following statements is true regarding preannouncements?


A) Large firms are more likely to preannounce than firms with smaller share.
B) There will be more preannouncing in industries that are very competitive.
C) There will be less preannouncing where switching costs are high.
D) Preannouncement can be used to block a competitive entry.

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