Srinivasan, R. (2011). There are two kinds of companies - Price Setters and Price Takers [Blog]Iterative Path. Available at:https://iterativepath.wordpress.com/2011/12/18/there-are-two-kinds-of-companies-price-setters-and-price-takers/(Links to an external site.)

(Accessed: 7 March 2018)

Question One

In this article Srinivasan (2011) discusses the nature of Apple and Amazon as price setters within the tablet market. Critically discuss the different pricing strategies adopted by Apple and Amazon, and how each of these retailers uses their position as a price setter within the market to maximise their profits.

Question Two

Having considered the nature of Apple and Amazon as price setters, identify at least one other company which will be required to take the role of price taker within this market.Discuss the pricing strategy of this company, and also the impact of the price setters on this company.