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A problem with using the price of a product similar to the intermediate good sold on the market is Question 22 options: the market price
A problem with using the price of a product similar to the intermediate good sold on the market is Question 22 options: the market price includes a margin above marginal cost the product on the market may include costly features your downstream division does not use the product on the market may be cheap because it is not as high of quality as your downstream division uses all of the above
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Managerial Economics and Organizational Architecture
Authors: James Brickley, Clifford W. Smith Jr., Jerold Zimmerman
6th edition
73523143, 73523149, 978-0073523149
