1 Sentences With "charge a lower price than"

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By contrast, to maintain a non- coercive monopoly, a monopolist must make pricing and production decisions knowing that if prices are too high or quality is too low competition may arise from another firm that can better serve the market. If it is successful, it is called an efficiency monopoly, because it has been able to keep production and supply costs lower than any other possible competitor so that it can charge a lower price than others and still be profitable. Since potential competitors are not able to be so efficient, they are not able to charge a lower, or comparable, price and still be profitable. Hence, competing in a non-coercive monopoly is possible but would not be profitable, whereas for a coercive monopoly competition would be profitable but is not possible.

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