The Number of Firms Producing Computer Memory Chips Decreases

question 273

Multiple Choice

The number of firms producing computer memory chips decreases. As a result, the price of a memory chip ________ and the quantity of memory chips ________.

• A) rises; increases
• B) rises; decreases
• C) falls; increases
• D) falls; decreases

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Definitions:

Core Competencies

Unique strengths and abilities that a company or an individual possesses which distinguish them from competitors.

Operating Efficiencies

The ratio of productive output to operational inputs, reflecting the effectiveness and economy with which resources are utilized in production.

Multidomestic Strategy

A business strategy where a company adapts its products, marketing, and operations to suit specific local markets in each country it operates.

Customizes Products

The act of modifying products to meet the preferences or requirements of different customers.