Video: Companies Using New Tactics to Compete Over Customers
Price wars are nothing new. Typically an airline will launch a price war on Tuesday, and that's usually followed by competitors matching or beating a market-specific airfare within hours. Big-box electronic stores do the same tactic with a competitor down the street, which usually then meets or beats the competitor's price. The price war has now extended deep into the internet. It's known as dynamic pricing. Retailers are hiring companies to change the price of products at a moment's notice depending upon market conditions and competitors’ sales prices.