A Popular Food Company, Crunchez Corp

question 10

Multiple Choice

A popular food company, Crunchez Corp., is finding it difficult to retain its buyers as another food company, MidnightSnax Inc., has started to provide the same product with the same taste for a lesser price. Which of the following is a threat to Crunchez Corp.?

• A)Cost push inflation
• B)Supplier power
• C)Switching cost
• D)Unused production capacity

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Definitions:

Breach Of Contract

Breach of Contract occurs when one party fails to fulfill their obligations under the contract, allowing the other party to seek damages or enforcement.

Standardized Form Contracts

Pre-prepared legal agreements that are not tailored to individual negotiations but used universally across many transactions.

Negotiable

Capable of being transferred from one party to another as a form of payment or as fulfilment of a contract.

Voidable Contract

A legal agreement that may be considered invalid upon the request of one of the parties due to certain defects, such as misrepresentation or lack of capacity at the time of execution.