For a Competitive Market

question 33

Multiple Choice

For a competitive market,

• A)a seller can always increase her profit by raising the price of her product.
• B)if a seller charges more than the going price,buyers will go elsewhere to make their purchases.
• C)a seller often charges less than the going price to increase sales and profit.
• D)a single buyer can influence the price of the product but only when purchasing from several sellers in a short period of time.

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Definitions:

Contingency Thinking

Contingency thinking is an approach that considers the possible variations in a situation and plans for multiple potential scenarios, acknowledging that there is no one-size-fits-all strategy.

Uncertain Environment

Lacks so much information that it is difficult to assign probabilities to the likely outcomes of alternatives.

Stable Environment

An environment characterized by predictability, consistency, and minimal change, allowing organizations to plan with greater certainty.

Corporate Social Responsibility

Business practices involving initiatives that benefit society and go beyond the interests of the company.