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Charlene is a sales representative for the Herbs and Spice Company and sells spices to large food service operations and restaurants. Charlene used to be
Charlene is a sales representative for the Herbs and Spice Company and sells spices to large food service operations and restaurants. Charlene used to be able to justify selling their products for a higher price than the competition because they believed their spices were of higher quality. However, now the demand for individual brands of spices has become very elastic because buyers perceive few differences among the brands. One of Charlene's regular customers told Charlene that another spice company offered them a significantly lower price on spices, and they asked if Charlene could match the price. Charlene said, "I have to see a written price quote from the competitor. If I lower my price without seeing the price quote, I could be accused by my other customers of engaging in Multiple Choice O dumping O price discrimination O price fixing O zone pricing
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