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Author Question: Refer to Figure 14-5. Does it make sense for Netflix to lower its price in order to deter Spotify's ... (Read 42 times)

Brittanyd9008

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Refer to Figure 14-5. Does it make sense for Netflix to lower its price in order to deter Spotify's entry into the streaming video market?
 
  A) yes, because it is always profitable to remain a monopoly
  B) yes, because Netflix stands to make a profit of 7 million by lowering its price and keeping Spotify out of the market
  C) no, because Spotify will enter the market regardless of Netflix's decision about its subscription price
  D) no, because Netflix will make a higher profit by keeping its subscription price unchanged, whether Spotify enters the market or not

Question 2

A merger between the Ford Motor Company and General Motors would be an example of a
 
  A) conglomerate merger. B) vertical merger.
  C) horizontal merger. D) trust.


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Ahnyah

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Brittanyd9008

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Reply 2 on: Jun 29, 2018
Gracias!


kjohnson

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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