Question
When a company uses illegal practices that consist of setting prices very low with the aim of decreasing competition is _____________
A.
Deceptive pricing
B.
Price taker
C.
Price discrimination
D.
Predatory pricing
A.
Deceptive pricing
B.
Price taker
C.
Price discrimination
D.
Predatory pricing
Answers
GPT-4o mini
The correct answer is **D. Predatory pricing**.
Predatory pricing refers to the practice of setting prices extremely low with the intent to drive competitors out of the market or deter new competitors from entering.
Predatory pricing refers to the practice of setting prices extremely low with the intent to drive competitors out of the market or deter new competitors from entering.