What does predatory pricing involve?
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Predatory pricing is the illegal act of setting prices low in an attempt to eliminate the competition. ... Companies that participate in predatory pricing might engage in a variety of activities intended to drive out competitors. This may include unethical production methods to minimize costs.
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Predatory pricing is a method of pricing in which the company change low prices to eliminate the competition.
Explanation :
- Predatory pricing is a pricing strategy that is aimed at current and potential clients. It is also called competitive pricing as it enables the forms to wipe out competition from the market.
- In order to gain long-term profits, the company reduces its prices to sell maximum products in the market.
- It causes harm to the customers and is considered to be anti-competitive and is illegal in some countries. It's an irrational practice and laws are made to prevent this type of pricing.
Learn more about the what does predatory pricing involve.
- brainly.in/question/6922736 answered by nerdyhead.
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