Sky-High Skywriters raises its price,and the other four firms in the industry raise their prices in response.Coordination in this industry is accomplished by

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The coordination in this industry is accomplished through price leadership, where Sky-High Skywriters sets the price and the other firms in the industry follow suit. This is a common strategy in industries where there are only a few dominant firms. Predatory pricing is when a firm lowers its prices to drive competitors out of business, which is not happening in this case. Price-fixing is illegal and involves firms colluding to set prices, which is not the case here either. Retaliation involves one firm responding to another firm's actions, but in this case, the response of the other firms is not a retaliation, but a strategic decision to follow Sky-High Skywriters' pricing.

Sky-High Skywriters Raises Its Price,and the Other Four Firms in the Industry