Stan Owns a Body Shop,and His Cousin Recently Came to Him

question 90

Multiple Choice

Stan owns a body shop,and his cousin recently came to him desperate to get a job.Stan,who is not currently looking to hire anyone,is concerned about the effect of a new hire on profits.This concern stems from which family business perspective?

• A) Family
• B) Ownership
• C) Marketing
• D) External

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Definitions:

Output

The total amount of goods or services produced by a company or country.

Economies of Scale

Cost advantages that enterprises obtain due to their scale of operation, typically characterized by a reduction in average costs with increased production.

Minimum Efficient Scale

The smallest scale of production a firm can achieve while still taking full advantage of economies of scale in terms of costs per unit.

Output

The quantity of goods or services produced by a firm, sector, or economy within a certain period.