Final answer:
Retailers use loss leader pricing to attract customers with very low-priced items, hoping they'll also buy other items at regular prices. It is different from predatory pricing, which aims to drive competitors out of business.
Step-by-step explanation:
When retailers advertise products at very low prices or even below cost in the hopes that customers will purchase other items at regular prices, they are engaging in loss leader pricing. This strategy involves selling a product at a price that is not profitable — possibly below the cost of acquisition — to attract customers to the store or website in the hope that they will buy other, more profitable products. This should not be confused with predatory pricing, which is a strategy employed to eliminate competition by selling goods at extremely low prices with the intention of driving other firms out of business, then raising prices again once the competitive threat has been mitigated.