Fill in the Blank(s)

question 46

Short Answer

Fill in the Blank(s)
-Joseph Schumpeter, the Austrian economist, coined the term___________ in 1942 to describe the endless cycle of entrepreneurial innovation that makes existing companies obsolete.

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Definitions:

Variable Cost

Expenses that change in proportion to the activity of a business, such as costs for raw materials and labor directly tied to production output.

Variable Costs

Costs that vary directly with the level of production or sales volume.

Shutting Down

The process of ceasing operations or closing a business, often temporarily or permanently, due to various reasons such as financial difficulties or strategic decisions.

Going Out of Business

The process of closing down all operations of a company, often due to financial troubles or bankruptcy.