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objectives. There are two main pricing strategies that firms may use to defend against a competitive market entry. The first of … these options, limit pricing (or entry deterring price), may be utilized prior to competitive entry. The second option …, aggressive (predatory) pricing, may be executed post-entry. The effectiveness of both of these options is still controversial …
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countercyclical. We also establish pricing patterns with respect to the relative prices in booms and recessions. If the marginal cost … intermediate range, numerical examples are calculated to show specific pricing patterns. …
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This paper identifies conditions under which an industry-wide practice of posted (or list) pricing is a plus factor … posted pricing, it is to facilitate collusion by making it easier for them to coordinate their prices. It is then argued that … the adoption of posted pricing communicates the necessary intent and reliance to conclude concerted action. …
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