Until 2004, Pepsi was sold in the Gulf, but not Coca-Cola. Today, Pepsi is fighting to keep its dominant position in the Middle East. Coca-Cola and Pepsi have avoided a price war and have entered into a "display marketing" war. Each copies the other's promotions and tries to do even better. Coca-Cola and Pepsi are at each other's throats, and that's good news for everyone. AME Info, April 8, 2004 Why would Coke and Pepsi steer clear of a price war even though they are "at each other's throats"? Question content area bottom Part 1 Coke and Pepsi are steering clear of a price war because ______. A. it is against the law B. it would bring negative publicity C. a price war can eliminate economic profit if the price falls to the competitive level D. it could decrease demand for one firm