A Firm Follows A(n) ________ When Less Than 70 Percent

question 84

Multiple Choice

A firm follows a(n) ________ when less than 70 percent of its revenues come from a single business and there are few, if any, linkages among its businesses.

• A) related-constrained strategy
• B) unrelated diversification strategy
• C) differentiation strategy
• D) dominant-business strategy

Apply the principle of marginal analysis to firm decision-making in purely competitive markets.

Determine the conditions under which a firm should continue production or shut down in the short run.

Understand the relationship between price, average revenue, marginal cost, and marginal revenue in the determination of production levels.

Calculate economic profits or losses based on price, average cost, and output levels.

---

Definitions:

Woodblock

A technique or the physical block used in woodblock printing, where designs are carved into wood to be inked and transferred to paper or fabric.

Engraving

A printmaking technique where an artist incises or cuts a design onto a hard surface, usually metal, to create a print.

Taian Teahouse

A notable teahouse in Japan, famous for its historical significance and traditional design that exemplifies Japanese tea ceremony architecture.

Myokian Temple

A historic Zen Buddhist temple known for its traditional Japanese tea room, located in Kyoto, Japan.