1.2k views
1 vote
Which of the following statements is​ true? A. Companies are​ price-setters for a product when there is intense competition. B. Companies are​ price-takers when they have little or no control over the prices of their products or services. C. Companies are​ price-takers when their products are unique. D. Companies are​ price-takers for a product when the pricing approach emphasizes​ cost-plus pricing.

1 Answer

6 votes

Answer: B - Companies are​ price-takers when they have little or no control over the prices of their products or services.

Step-by-step explanation:

Price takers are firms that do not have control or do not set the prices for their goods or services. They take the price set by the market.

Price takers operate in perfectly competitive markets. Price takers have close substitutes for their goods and services.

Price makers are firms that have the ability to influence the price of their goods or services.

They are usually monopoly firms with no close substitutes for their goods or services.

User Iri
by
5.7k points