They go out of business. Like the many US manufacturers that have left the US because of the high embedded tax costs - they go to a country that has less tax costs in prices - because they can't compete against business that has such a lower tax cost component in prices. HELLO?!So can a business determine what price they get for a product or not? One minute you're saying "You simply increase the price, if possible, to cover anticipated expenses". The next you are saying that expenses could exceed sales revenue as if the business can't "simply increase the price." Make up your mind. How is the price set?
Business can certainly affect the price fetched by their product. I have not expressed any position about whether "a business can determine what price they get".
One minute you're saying "You simply increase the price, if possible, to cover anticipated expenses".
If a business needs more revenue, ONE of the things they may do is increase their price, if possible, to cover anticipated expenses.
The next you are saying that expenses could exceed sales revenue as if the business can't "simply increase the price."
Business may inrease their price anytime they want. But that isn't to say that the price will earn greater revenue. Maximum price does not bring maximum profit.
There are many factors affecting price. Market is only one of the factors. Another factor in pricing is generating sufficient revenue to pay expenses- all of them.... utilities, payroll taxes, copier leases, tax compliance costs, salaries, and anticipated income tax costs.