Which of the following refers to the process by which companies increase or decrease product prices to convey their competitive intention to other companies and so influence the way they price their products?
A) Cost cutting
B) Price signaling
C) Preemption
D) Non-price competition
E) Horizontal mergers

Question

Quizplus · Accepted Answer

Price signaling refers to the process of adjusting product prices to indicate the company's competitive intentions to other companies. By doing so, the company can influence the way its competitors price their products. This is a common practice in industries where price competition is intense.

Which of the Following Refers to the Process by Which