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Ronch [10]
3 years ago
11

In the presence of​ shortages, why would a​ firm, such as a restaurant with people waiting for a table or a theater with people

waiting for a​ ticket, not raise prices when doing so would seem to increase​ profits?
Business
1 answer:
viktelen [127]3 years ago
6 0
<span>This might be seen by customers as trying to take advantage of them. In addition, this might lead to short-run profits, but the bad publicity this could lead to might lead to long-run losses that the company may not be able to recoup.</span>
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