The price cutting technique leads to various possible traps including __________?

Correct answer: B. all of above

  • A. price-war traps
  • B. all of above
  • C. low-quality traps
  • D. shallow-pockets traps

Explanation

Price cutting can trigger a price war, expose a firm with shallow pockets to cash-flow pressure, and make customers suspect low quality. Therefore, all three listed effects are recognised traps.

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