Define Competitive Advantage and Explain Two Core Ideas That Are

question 9

Essay

Define competitive advantage and explain two core ideas that are valuable in defining competitive advantage.

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Definitions:

Optimal Tax

A taxation principle aiming to maximize economic efficiency without imposing undue burdens or distortions.

Deadweight Loss

Economic efficiency loss occurring when free market equilibrium is not achieved for a good or service.

Revenues

The income generated from normal business operations and includes discounts and deductions for returned merchandise.

Tax

A financial charge or levy imposed by a government on individuals or entities to fund public expenditures, thereby shaping economic policies.