A local diner offers a lunch special during the week for $5.99. On Wednesdays, senior citizens can get the same lunch special for $4.99. This is a form of predatory pricing.

Question

Quizplus · Accepted Answer

Predatory pricing involves setting prices extremely low with the intent to eliminate competition, whereas offering a discount to senior citizens is a common pricing strategy aimed at providing benefits to a specific group without intending to harm competitors.

A Local Diner Offers a Lunch Special During the Week