Predatory Pricing Explained | 60 Second Economics
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YouTubetutor2u
Predatory Pricing Explained | 60 Second Economics
Predatory pricing occurs when a dominant firm deliberately sets prices below average cost, accepting short-term losses to force smaller rivals or new entrants out of the market. Once competition is weakened or eliminated, the firm can then raise prices, reduce choice, and harm long-run consumer welfare. This behaviour is closely linked to ...
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