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Suppose that R. J. Reynolds raises the price of cigarettes by 10 percent. Although they have no requirement or agreement to do so, the other cigarette firms decide to raise their prices accordingly. This
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Suppose that R. J. Reynolds raises the price of cigarettes by 10 percent. Although they have no requirement or agreement to do so, the other cigarette firms decide to raise their prices accordingly. This situation is best described as:

User DotNetStudent
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Answer:

Price leadership

Step-by-step explanation:

Price leadership is a feature in oligopoly firms. it is when a firm known as the price leader sets the price of a good or service and other firms raise their prices accordingly in order to maintain market share.

User Nikola Novak
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