Business English Vocabulary Podcast 001 – Preditory Pricing

Preditory Pricing - Preditory pricing is when you sell something at a very low price to make your competitors want to leave the market or feel afraid to enter the market.

Companies are always looking for ways to have as little competition as possible.  If a company has a lot of money, they might use some predatory pricing strategies to get all of the weaker companies out of the market.  Once most of the companies have left the market, the company who was doing the predatory pricing might raise their prices again so they can earn more money.

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