Which of the Following Firms Is Most Likely to Have

question 20

Multiple Choice

Which of the following firms is most likely to have an edge over a local entrepreneur in terms of economies of scale?

• A) Porky's Pizza: open for 9 months.
• B) Kim's Hair and Salon: open for 3 years.
• C) Domino's Pizza: open for 15 years.
• D) Corn Krib: open for 10 months.
• E) Mike's Sports Bar and grill: open for 6 months.

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Definitions:

Profit Maximization

The business objective of achieving the highest possible financial gain, commonly through increased sales revenue, cost reduction, or both.

Social Goals

Objectives that aim to improve society's well-being, addressing issues like poverty, inequality, and environmental sustainability.

Economic Institution

An established organization or system that plays a role in the distribution and consumption of goods and services within an economy.

Social Responsibility Strategy

A company’s plan or approach to contributing positively to societal goals, through sustainable business practices and ethical contributions.