Pricing to achieve profit maximization always lead to high prices.

Question

Quizplus · Accepted Answer

Pricing to achieve profit maximization involves finding the price point that balances cost and revenue to maximize profit. This may result in a higher price than competitors, but it does not always lead to high prices as the focus is on maximizing profit, not simply setting high prices. It is possible for a company to achieve profit maximization at a lower price point if their cost structure and demand curve allow for it.

Pricing to Achieve Profit Maximization Always Lead to High Prices