Problem
According to Business of Apps, there are almost 1.5 billion "What's-App" users worldwide. In the video below, "Whats-App" founders explain their ambitions to use their app for commercial use. In this chapter, we discuss several pricing strategies that firms that enjoy market power could use to boost their profits in markets. Use the knowledge mastered in this chapter to answer the following questions.
Do you think that one of the pricing strategies that we study in this chapter could be a useful tool for "Whats-App"? Identify that strategy and defend your arguments.