MANAGERIAL ECONOMICS
5th Edition
ISBN: 9781337106658
Author: FROEB
Publisher: CENGAGE L
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Chapter 14, Problem 1MC
To determine
Optimal segmentation strategy.
Expert Solution & Answer
Explanation of Solution
When the advanced version is available with the same price as the old version, selling only the old version is not the optimal segmentation strategy. Thus, option ‘b’ is correct.
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