If a large retailer sold numerous items below cost with the intention of punishing small competitors and gaining higher long-run profits by putting those competitors out of business, the retailer would be guilty of ________.

If a large retailer sold numerous items below cost with the intention of punishing small competitors and gaining higher long-run profits by putting those competitors out of business, the retailer would be guilty of ________.



A) price collusion
B) price fixing
C) predatory pricing
D) discriminatory pricing
E) penetration pricing


Answer: C) predatory pricing


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