Question

There are two shoe stores in a small town. Store A is selling a pair of running shoes for $39.50. If it costs Store A $40 to order this pair of shoes from the factory, then what is Store A doing?

A. This store has high market power.

B. This store is price fixing.

C. This store is practicing deregulation.

D. This store is practicing predatory pricing.

Answer 1

hi elena its bre

Practicing predatory pricing.

Predatory pricing is the price of goods or services at a low level where other supplies can not compete. If suppliers are unable to compete they will eventually leave the market due to the inability to sell their product.

Step-by-step explanation:

Answer 2

Answer: Predatory Pricing

Step-by-step explanation: