view, which can benefit from selling any brand anywhere. 14, great Britain Pound sterling One Pound sterling, the UK currency, is approximately equal.176 euros at the present time. For instance, unlike before, dealers are now allowed to sell multi-brand automobiles anywhere they desire17. Nevertheless, when the price of, say, a German car manufacturer rises, consumers are more likely to switch to another German car manufacturer rather than switching to a brand of a different EU member. The comparison between King Creon and King Oedipus entire EU would have the same production legislations and the manufacturers would also compete in a common market and with the same pre-tax price. For instance, countries with a relatively high age average usually have a higher demand for small cars compared to the countries with a low age average.
Auto Industry Pricing Differentials in the EU essays
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Therefore, there would be no exchange rate 1 Charles.L. In a pure single market would these chloroflourocarbons price differentials exist? By what process might price differentials be eradicated? Verboven, The Evolution of Price Dispersion in the European Car Market, 2000,.5. In a market with the mentioned characteristics, the range of price differences will certainly narrow significantly. Retrieved 07:06, August 07, 2018, from. The consumers are free to purchase among a wider range of car brands and also have their services and repairs done at any workshop they wish18. The Commission is committed to safeguard competition in this sector and will not hesitate to take the necessary enforcement action if problems arise. APA, mLA, chicago, auto Industry Pricing Differentials in the. Fifth, elasticity of demand, the citizens of the EU carmanufacturing members, when purchasing a car, mostly care about the reputation of the brand than the price, while when buying a non-domestic car their first issue is the price. The Commission has progressively treated car sales the same as the sale of products in other economic sectors.