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Economics (AS & A Level) · Oct / Nov 2025 · Paper 33 · Question 2

9708Differing objectives and policies of firms

A firm has set a low price in the short run to act as a barrier to entry for new firms entering the market. This is an example of which pricing strategy?

  1. Alimit pricing
  2. Bpredatory pricing
  3. Cprice discrimination
  4. Dprice leadership

As printed in the paper

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Correct answer: A. limit pricing

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