Suppose that you are the owner of a brand of energy drink, called ACTIVE (which competes with brands
such as Red Bull, Monster etc.).
And the optimal price (profit maximizing) of ACTIVE is $ 1.4.
Suppose that you introduce a second brand of energy drink, called HIGH ENERGY. Now, you own a portfolio of two brands, ACTIVE and HIGH ENERGY.
In this scenario, will you find it optimal to maintain the price of ACTIVE at the optimal price of $1.4 or increase it or decrease it? Why? Explain the rationale for your answer
(no calculations are necessary).