Nisha Sharma posted an Question
October 06, 2021 • 11:20 am 30 points
  • Commerce

Ihere are variois 10tm o price leadership by low cost firm price leadership by a large (dominant) firm barometric price leadership

Ihere are varioIs 10Tm O Price leadership by low cost firm Price leadership by a large (dominant) firm Barometric Price leadership

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  • Rucha rajesh shingvekar best-answer

    the low-cost price leadership model, an oligopolistic firm having lower costs than the other firms sets a lower price which the other firms have to follow. Thus the low-cost firm becomes the price leader. The dominant price leadership model occurs when one firm controls the vast majority of the market share in its industry. Within the industry, there are other, smaller firms that provide the same products or services as the leading firm. ... A dominant price leadership model is sometimes referred to as a partial monopoly. The barometric price leadership model occurs when a particular firm is more adept than others at identifying shifts in applicable market forces, such as a change in production costs. This allows the firm to respond to market forces more efficiently. For instance, the firm may initiate a price change.


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