There Are Many Reasons Why Firms Need to Grow

question 100

Multiple Choice

There are many reasons why firms need to grow. Which of the following reasons is strongly influenced by economies of scale?

• A) increasing profits
• B) lowering costs
• C) reducing risk
• D) motivating managers

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Definitions:

Legislative Protections

Laws and regulations designed to protect the rights and welfare of individuals, such as workers or consumers, in various aspects of life and commerce.

Industrial Unions

Labor unions that organize workers across all crafts and trades within an entire industry, rather than according to the specific skills they possess.

Craft Unions

Labor organizations that represent workers in a specific trade or craft, focusing on skills and qualifications unique to that craft as the basis for membership.

Jurisdictional Fights

Conflicts between different unions or sections of unions over the right to represent a certain group of workers or perform specific job tasks.