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The Fun House company charges $249.99 for its bouncy house products. It goes toe-to-toe with its competitors' price of $249.99. Each time its competition reduces
The Fun House company charges $249.99 for its bouncy house products. It goes toe-to-toe with its competitors' price of $249.99. Each time its competition reduces the price on the bouncy house, the Fun House company matches the price change. The bouncy house market gets in a price war, and soon all companies are selling their bouncy houses for $49.99. The Fun House has run into a common pitfall of what type of pricing strategy
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