Which One of the Following Is Not a Factor That

question 9

Multiple Choice

Which one of the following is not a factor that makes it appealing to diversify into a new industry by forming an internal start-up subsidiary to enter and compete in the target industry?

• A) when internal entry is cheaper than entry via acquisition
• B) when a company possesses the skills and resources needed to compete effectively and there is ample time to launch the business
• C) when adding new production capacity will not adversely impact the supply/demand balance in the industry
• D) when the industry is growing rapidly and the target industry is comprised of several relatively large and well-established firms
• E) when incumbent firms are likely to be slow or ineffective in combating a new entrant's efforts to crack the market

Understand the factors that influence the strength of electro-magnets.

Understand the impact of taxes on market prices, including how taxes decrease the price received by sellers.

Analyze the effects of taxes on consumer surplus, producer surplus, and total surplus.

Identify and calculate the deadweight loss resulting from a tax.

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Definitions:

Homogeneous Products

Refers to goods that are identical in quality and features, making them perfect substitutes for each other in the eyes of consumers.

Decision Variable

A variable that represents choices available to the decision-maker in problem-solving or optimization scenarios.

Barriers

Obstacles that prevent entry into a market or impede growth and can be economic, regulatory, technological, or cultural.

Product Differentiate

The process of distinguishing a product or service from others in the market to make it more attractive to a particular target market.