Jessica Smith Is Thinking About Starting a Chain of Fitness

question 8

Multiple Choice

Jessica Smith is thinking about starting a chain of fitness centers for young adults ages 18-30. Which of the following is not an appropriate criteria for Jessica to test her idea against?

• A) Determine whether the "window of opportunity" is open.
• B) Determine whether a fitness center for young adults ages 18-30 meets the threshold of being a good idea.
• C) Determine the extent to which the notion takes advantage of an environmental trend, solves a problem, or fills a gap in the marketplace.
• D) Determine whether opening a fitness center for young adults ages 18-30 is timely.
• E) Determine whether opening a fitness center for young adults ages 18-30 is a concept that creates value for its buyer or end user.

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Definitions:

Aggregate Supply Curve

Represents the total supply of goods and services that firms in an economy plan to sell during a specific time period at different price levels, usually upward sloping, indicating a positive relationship between price level and output.

Aggregate Demand Curve

represents the total demand for all goods and services in an economy at different price levels, typically downward sloping.

Prices

The amount of money required to purchase goods or services, representing the value placed on those items.

Wages

Payments made to employees for their labor, typically calculated on an hourly, daily, or piece rate basis, as compensation for work performed.