National Competitive Advantage Derives from Four Conditions

question 135

Multiple Choice

National competitive advantage derives from four conditions.One of those conditions includes factor conditions.What do factor conditions include?

• A) customers, suppliers, and labor
• B) product quality, productivity, and profits
• C) labor, capital, entrepreneurs, physical resources, and information resources
• D) strategies, structures, and rivalries

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Definitions:

Economic Profit

The total revenue a firm earns minus both its explicit and implicit costs, representing surplus value created from production.

Economic Loss

A monetary loss that occurs when the cost of producing a good or service exceeds the revenue gained from selling it.

Economically Efficient

A situation where resources are allocated in a way that maximizes the net benefit to society or an economy.

Total Costs

The sum of all expenses a firm incurs in the production of goods or services, including both fixed and variable costs.