Which of the following is true?
a. To reduce cannibalization among products, reposition a product so that it does not directly compete with the other
b. After acquiring a substitute product, raise prices on both the products
c. After acquiring a complementary product, lower prices on both the products
d. All of the above
d
You might also like to view...
The economy pictured in the figure below has a(n) ________ gap with a short-run equilibrium combination of inflation and output indicated by point ________. 
A. recessionary; B B. recessionary; C C. recessionary; A D. expansionary; A
You are an analyst with a perfectly competitive firm that makes DRAM memory chips. You must manufacture the chips before you know what the demand will be. Based on the below figure, if the demand is high with an 80% probability and low with a 20% probability, the expected marginal revenue for a chip is ________.
A) $2.00
B) $2.60
C) $2.40
D) $1.40
If there are two goods and two countries, then one country can have
A) an absolute advantage in only one good. B) an absolute advantage in both goods. C) a higher opportunity cost of producing both goods. D) a lower opportunity cost of producing both goods.
Active macroeconomic policy would move to close an expansionary gap by decreasing aggregate demand
a. True b. False Indicate whether the statement is true or false