(Answered) : 7. Fall City Brewery sells its beer to a variety of distribu- tors located throughout the mid-western portion of the United States

7. Fall City Brewery sells its beer to a variety of distribu- tors located throughout the mid-western portion of the United States. Fall City prices its beer based on each state’s market, recognizing that competitors in the market change from state to state. An Indiana distribu- tor who sells in Evansville must pay a higher price than a Kentucky distributor who sells beer in the town of Dawson. What defense might Fall City raise? Why?

Expert Answer

In this case fall city brewing company who is Kentucky, USA based prices its beer in different prices in different states as

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