Shirley Is an Actress Under Contract with Twentieth Century

question 9

Essay

Shirley is an actress under contract with Twentieth Century.Shirley agreed to perform the lead role in a musical to be filmed in Hollywood by Twentieth Century.At the last minute,Twentieth Century decided to scrap the musical and assigned its rights in Shirley to MGM.MGM was planning to film a western in Australia requiring Shirley to spend six months filming in Australia.Can Shirley successfully prevent this assignment?

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Definitions:

Economies of Scale

This concept describes the cost advantage achieved by an enterprise when production becomes efficient, resulting in a decrease in the per-unit cost as output increases.

Perfect Competition

describes a theoretical market structure characterized by many buyers and sellers, homogenous products, and free entry and exit, leading to optimal distribution of goods and services.

Barriers to Entry

Obstacles that make it difficult for new competitors to enter a market, such as high startup costs, strict regulations, or established brand loyalty.

Economic Profits

The excess of total revenues over total costs, including both explicit costs and opportunity costs, indicating a return beyond the normal profit level.