A Strategy in Which a Company Exploits Economies of Scale

question 26

Multiple Choice

A strategy in which a company exploits economies of scale to have the lowest cost structure of any competitor in its industry is called ________.

• A) differentiation
• B) stability
• C) low-cost leadership
• D) retrenchment

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Definitions:

Financial Freedom

The state of having sufficient personal wealth to live, without having to work actively for basic necessities, allowing an individual to enjoy life and pursue personal interests.

Risk Insurance

A financial product or service that provides protection against potential future losses or damages, typically involving the transfer of risk from an individual or business to an insurance company in exchange for premiums.

Political Risks

The uncertainties and potential losses that businesses may face due to political changes or instability in a country.

Immediate Compensation

Payment or remuneration provided promptly after services are rendered or a task is completed.