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A business keeps very low prices only to remove competitors and later raises prices sharply. What is the problem according to social objective?

Answer and explanation

Correct answer: It may be against consumer welfare

Fair price aims at consumer welfare not exploitative strategy. In exams see the purpose behind price strategy.

Related tags

Fair PriceConsumer WelfarePricing StrategyObjectives Of ManagementNature And Significance Of ManagementBusiness StudiesClass 12 Mcq

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