In the context of strategic pricing,_____ occurs whenever a firm sells a product for a price that is less than the cost of producing it.
A) inflation
B) dumping
C) arbitrage
D) speculation
E) outsourcing

Question

Quizplus · Accepted Answer

Dumping occurs when a firm sells a product in a foreign market for a price that is lower than the cost of producing it, in order to gain market share or drive out competition. It can also occur domestically. This can be seen as a predatory pricing strategy and can lead to trade disputes and tariffs being imposed.

In the Context of Strategic Pricing,_____ Occurs Whenever a Firm