All of the Following Are Considered a Barrier to Entry

question 274

Multiple Choice

All of the following are considered a barrier to entry into a market EXCEPT

• A) ownership of resources without close substitutes.
• B) when firms can only earn a normal rate of return in a market.
• C) economies of scale.
• D) governmental restrictions on a firm's ability enter a market.

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Definitions:

High Demand

A situation where the desire and need for a product or service greatly exceeds the available supply within a market.

Transportation

The movement of goods and people from one location to another using various modes such as road, rail, air, and sea.

Supply Chain

The interconnected network of businesses and processes involved in the production, handling, and distribution of goods or services, from raw materials to end-user.

Cycle Inventory

Inventory that turns over repeatedly throughout a period as part of the normal course of business operations.