Which of the Following Enabled Taco Bell to Avoid a PR

question 45

Multiple Choice

Which of the following enabled Taco Bell to avoid a PR disaster?

• A)being transparent and aggressive
• B)settling the customer lawsuit quickly
• C)developing a newer,better product
• D)making changes to a poor product

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Definitions:

Economies of Scale

The financial benefits gained by businesses as a result of their operation size, wherein the expense for each unit produced typically drops as the scale expands.

Average Total Costs

The total cost of production divided by the quantity of output produced; it includes both fixed and variable costs.

Economies of Scale

Refers to the cost advantage that arises with increased output of a product, where the average cost per unit decreases as production scales up.

Diseconomies of Scale

The phenomenon where a company's production costs increase as it produces more, resulting in a decrease in efficiency.