Mario Earns Profits by Developing a Product That Is Unusual

question 97

Multiple Choice

Mario earns profits by developing a product that is unusual, unique, and greatly in demand. Which of the following theories of profit best describes the reason behind his success?

• A)Uncertainty is the source of profits.
• B)Profit is the reward for alertness to arbitrage opportunities.
• C)Profit is the return to the entrepreneur as innovator.
• D)Profit is the return for being smart.
• E)Profit is the return for being in the right place at the right time.

---

Definitions:

Wrongful Dismissal

The termination of an employee's contract of employment in violation of the law or the terms of the contract itself, often without proper notice or just cause.

Performance Management System

A framework used by organizations to monitor, evaluate, and improve the performance of employees.

Rating Errors

Mistakes made in assessing performance or quality, often due to biases or misinformation.

Performance Management Process

A systematic approach to improving employee performance through setting objectives, assessments, feedback, and continuous development.