Computer Peripherals Provider Ascent Plans to Enter a New Market

question 36

Multiple Choice

Computer peripherals provider Ascent plans to enter a new market in another country.Which of the following represents a threat for Ascent?

• A)Ascent's profit margin in the previous year was its lowest on record and it will require long-term planning to improve margins.
• B)Ascent lacks the resources to enter the market on its own and has to find a partner in the new market.
• C)Ascent will have to plan its entry carefully as the laws in the country do not favor foreign businesses.
• D)Ascent needs to improve its service capabilities in the new country as this is an important source of revenue.

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Definitions:

Indifference Curve

A graph representing different bundles of goods between which a consumer is indifferent, showing combinations that yield equal satisfaction or utility.

Apples And Bananas

A phrase indicating comparison or choice between two different items, often used to illustrate the concept of preference or trade-off in economics.

Utility Function

a mathematical representation in economics of a consumer's preference ranking over a set of goods or services.

Indifference Curve

A graphical representation showing combinations of goods or services among which a consumer is indifferent, signifying equal levels of utility.