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Business Economics Syndicate 1 MBA ITB
Business Economics Syndicate 1 MBA ITB
STRATEGY OF FIRMS IN
THE CIGARETTE INDUSTRY
• From both of Macro and Micro POV : Yes they allowed selling a
product that is harmful to health because they have a business
value (high market demand)
Yes it’s the right decision, as one of the strategies of Market Forces ration by
changing price as a way to maintain the competitiveness of the product during
economic changing
AND YES THEY’VE REALIZED THAT OTHER COMPETITORS ALSO WOULD RETALIATE
COLLABORATING
WITH OTHER FIRM ?