Competitive Advantage Refers to the Set of Decisions and Actions

question 62

True/False

Competitive advantage refers to the set of decisions and actions used to formulate and implement strategies.

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Definitions:

Fixed Costs

Fixed expenses that are unaffected by the amount of goods produced or sold, for example, rent, salaries, and insurance payments.

Profit

Profit is the financial gain obtained when the amount earned from a business activity exceeds the expenses, costs, and taxes needed to sustain the activity.

Operating Income

Income generated from a company's regular business operations, excluding one-time events and expenses.

Variable Cost

Costs that change in proportion to the level of activity or volume of goods produced.