Which of the Following Is an Advantage of Pursuing Cost

question 18

Multiple Choice

Which of the following is an advantage of pursuing cost leadership?

• A) Sales always increase with increasing amounts of output
• B) Loss of sales does not reduce scale benefits
• C) The strategy easily accommodates changes in the market
• D) A firm may charge the same price as its competitors but make a higher profit

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Definitions:

Veins

Tubes forming part of the blood circulation system of the body, carrying in most cases oxygen-depleted blood towards the heart.

Axillary Artery

An artery that carries oxygenated blood to the axilla (armpit) area and to the upper limb.

Brachium

The upper arm area between the shoulder and the elbow.

Costocervical Artery

An artery that supplies blood to the upper dorsal region of the body, including parts of the neck and shoulders.