Which of the Following Are Reasons Why Followers into a Market

question 68

Multiple Choice

Which of the following are reasons why followers into a market often find lower costs than the pioneer firm?

• A)The use of more current production technologies.
• B)Experience of suppliers leads to cost reductions.
• C)Learning from the pioneer's mistakes.
• D)All of the answer choices.
• E)Both experience of suppliers leads to cost reductions and learning from the pioneer's mistakes.

Calculate and compare production costs for making vs. buying decisions.

Prioritize product production based on contribution margin per constraint unit (e.g., machine hours).

Recognize the concept of opportunity cost and its importance in managerial decision-making.

Understand the concept of relevant costs in decision-making processes.