A company can successfully charge different prices in country A and B. What quantity do they produce
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Question:
A company can successfully charge different prices in country A and B.
What quantity do they produce in each plant? What are the profit- maximising prices in each country? What quantity do they sell in each country?
Demands for the product are below.
Country A: Q=20.5-P
Country B: Q=5-P
Marginal Costs at each plant are below.
Plant 1: $10
Plant 2: 0.1Q (Q= the total quantity produced at the plant 2)
Related Book For
Project Management The Managerial Process
ISBN: 978-1259186400
6th edition
Authors: Erik Larson, Clifford Gray
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