Nonprice competition results in
A)Resource misallocation.
B)Low entry barriers.
C)Marginal cost pricing.

Name: Nonprice competition results in A)Resource misallocation. B)Low entry barriers. C)Marginal cost pricing.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Nonprice competition occurs when firms compete on factors other than price, such as product quality, advertising, or customer service. This can lead to resource misallocation, as firms may spend too much on these non-price factors in an attempt to gain market share.

Nonprice Competition Results in