The Process of Locating Potential Customers Is Called

question 47

Multiple Choice

The process of locating potential customers is called

• A) database building.
• B) cold calling.
• C) customer knowledge.
• D) prospecting.

Analyze how changes in production capacity affect financial outcomes.

Understand how to manage costs to maintain profitability under varying conditions.

Evaluate the financial consequences of adjustments in selling price and cost structures.

Calculate net income based on given revenue, cost, and price parameters.

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Definitions:

Allocative Inefficiency

Allocative Inefficiency occurs when resources are not allocated in a way that maximizes the net benefits to society, often leading to over or under-production of goods and services.

Natural Monopoly

is a situation where a single firm can supply a product or service to an entire market more efficiently than could multiple competing firms, often due to high fixed costs.

Economies of Scale

Refers to the cost advantages that enterprises obtain due to their scale of operation, leading to a reduction in per-unit cost.

Capital Facilities

Physical assets such as buildings, machinery, and equipment used in the production of goods and services.