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All of the following are constraints on the use of purchase quantity as a price - segmentation fence EXCEPT: Question 7 options: It is necessary
All of the following are constraints on the use of purchase quantity as a pricesegmentation fence EXCEPT:
Question options:
It is necessary to keep quantity discounts modest enough so that it would not be profitable for an entrepreneur to buy large quantities of the product for the purpose of reselling the product to smallquantity buyers.
A quantity discount also needs to be structured to discourage purchasing alliances, or associations between groups of buyers of a product.
It may involve the issue of legality.
All of the above are constraints on the use of purchase quantity as a pricesegmentation fence.
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