Which of the Following Is Not Characteristic of a Disruptive

question 3

Multiple Choice

Which of the following is not characteristic of a disruptive innovation?

• A) It is usually more sophisticated technologically.
• B) It appeals to less demanding customers.
• C) It is typically a less expensive solution for meeting a need.
• D) It usually takes root in a new market or the low-end of an existing market.

Understand the law of diminishing returns and its implications for production and costs.

Identify the shapes and relationships among the ATC, AVC, and AFC curves.

Distinguish between short-run and long-run operational decisions in terms of costs and inputs.

Understand the principle of spreading overhead and how output level affects average fixed costs.

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Definitions:

New York Convention

An international treaty designed to facilitate the recognition and enforcement of foreign arbitral awards.

Arbitration Clause

A provision in a contract that requires the parties to resolve disputes through arbitration rather than through litigation.

Power-Generating Equipment

Machinery and systems designed to convert various forms of energy into electrical power.

Outer Space Treaty

An international agreement establishing the legal framework for the conduct of nations in the exploration and use of outer space.