The Only Way to Maximize Profits Is to Reduce Costs

question 96

True/False

The only way to maximize profits is to reduce costs by operating more efficiently.

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Definitions:

Seeks to Acquire

The process of actively looking for opportunities to obtain or gain possession of assets, skills, technology, or companies.

Competing Companies

Businesses or organizations that are in the same industry and vie for the same customer base, market share, or resources.

Market Power

The ability of a firm or entity to influence the price, quantity, and other market factors of goods or services, often due to its dominant share or unique position.

Horizontal Merger

A business strategy involving the combination of two or more companies at the same stage of production in the same or different industries.