Unlike a Sustainable Competitive Advantage,a Cost Competitive Advantage

question 100

Multiple Choice

Unlike a sustainable competitive advantage,a cost competitive advantage:

• A) does not ensure satisfactory profit margins.
• B) requires business firms to reduce after-purchase service options.
• C) involves producing goods that cannot be copied by competitors.
• D) is subject to continual erosion.

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Definitions:

Depreciation

The allocation of the cost of a tangible asset over its useful life, reflecting the decrease in value over time due to use and wear.

Tax Purposes

The reason or intent behind financial decisions or transactions primarily to comply with tax regulations or optimize tax benefits.

Process Layout

An arrangement of resources in a manufacturing or service environment where similar processes are grouped together.

Product

A tangible good, an intangible service, or a combination of these.