cross-subsidization

listen to the pronunciation of cross-subsidization
English - Turkish
(Ekonomi) Çapraz sübvansiyon
English - English
- The use of resources or revenues from one part of a company's operations to fund operations in another (sometimes weaker) part of the company
Use of high prices and profits on one product to subsidize low prices on another product
- The practice of using profits generated from one product or service to support another provided by the same operating entity
cross-subsidization means selling one product at a loss, which is balanced by higher profits on another product