1. Explain why, in an oligopolistic industry that faces inelastic demand and in which there is no acknowledged price leader, it is inadvisable for a firm to pursue a price-cutting strategy aimed at increasing market share.
2. What are the arguments for and against giving salespeople a high level of price discretion during their negotiations with customers?
3. From the point of view of costs, prices, revenues and profitability, what are the pros and cons of engaging in long-term partnerships with major customers?