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Business strategy
Factors that affect business product prices.
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[QUOTE="Etini, post: 345482, member: 90141"] Another salient factor that affects the prices of products is the market structure which the business operates in. A business that operates in a perfect competition would have no alternative but to sell at the equilibrium price. A business that operates as a monopoly has the liberty to fix it's price the way it wants even if it is at 100% mark up. Another factor that can affect prices is seasons. When there is scarcity in an industry, there is absolutely no doubt that there would be a price surge. And in times of abundance, they would be a price reduction. Government also set price ceilings and that can affect the prices of products and services. [/QUOTE]
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