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4. The small city of Le Locle has been served by the same local newspaper for th

ID: 1247284 • Letter: 4

Question

4. The small city of Le Locle has been served by the same local newspaper for the last 30 years called the Le Locle Tribune. The Tribune is written in a fairly conservative style yet, the demographic of the city is comprised of avid readers of a broad spectrum of political dispositions. A new newspaper firm plans on entering the market. This new paper will call itself the Le Locle Examiner. a. What would you expect would be the degree of price competition between the two firms? b. Along the political spectrum of liberal to conservative, in what style might Le Locle Examiner be expected to be written? Explain your answer. c. Considering political disposition as an axis of product differentiation, does vertical or horizontal differentiation best categorize it?

Explanation / Answer

A)The paper which will be started will kepp it's price low as more people will be attracted towards it..!! and give competition to the tribune,..!! B) Le Locle Examiner must include every topics in there newspaper from political spectrum of liberal to conservative so that it may be highlited and attract many people..!! C)Vertical diffrentiation best categorizes political disposition as an axis of product differentiation,

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