Identify which of the statements below is false A □ Bundling occurs when a combination of goods or services is sold at a price that is less than it would cost to buy the same items separately B □ In limit pricing, the incumbent sets a low price to deter a potential entrant from entering the industry C □ The purpose of predatory pricing is twofold: to drive out current rivals and to make future rivals think twice about entry D □ By holding excess capacity, the incumbent can credibly threaten to increase the price if entry occurs

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
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5) Identify which of the statements below is false

A □ Bundling occurs when a combination of goods or services is sold at a price that is less than it would cost to buy the same items separately

B □ In limit pricing, the incumbent sets a low price to deter a potential entrant from entering the industry

C □ The purpose of predatory pricing is twofold: to drive out current rivals and to make future rivals think twice about entry

D □ By holding excess capacity, the incumbent can credibly threaten to increase the price if entry occurs.

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