During the Growth Stage, Revenues Increase at an Accelerating Rate

question 68

Multiple Choice

During the growth stage, revenues increase at an accelerating rate because new consumers are trying the product and

• A) product differentiation is more difficult
• B) products become regarded as rare or unique.
• C) there are infrequent purchases.
• D) a growing number of satisfied customers are making repeat purchases.

---

Definitions:

Industry Type

A classification that groups companies based on similar business activities, products, or services.

Increasing Cost Industry

An industry in which costs per unit of output rise as the scale of production increases, often due to resource limitations or increasing input prices.

Factor Prices

The cost of inputs used in production, such as labor, land, and capital, which are influenced by supply and demand for these factors.

Market Supply Curve

A graphical representation showing the relationship between the price of a good or service and the total quantity of it that producers are willing to supply.