When price is likely to be the major basis of competition in an industry,firms should not make investments that send a(n)________ signal.
A)soft
B)tough
C)explicit
D)tacit

Question

Quizplus · Accepted Answer

When price is likely to be the major basis of competition, firms should avoid investments that send a tough signal, as this could escalate into a price war, reducing profitability for all firms involved.

When Price Is Likely to Be the Major Basis of Competition