Whenever Net External Benefits Exist Then

question 5

Multiple Choice

Whenever net external benefits exist then:

• A) economic profits are zero.
• B) the social demand exceeds the market demand.
• C) the benefits associated with a product fall short of those accruing to the market.
• D) product differentiation increases the variety of products available to consumers.

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Definitions:

Entrepreneurial Organisations

Businesses characterized by innovative practices, proactive expansion strategies, and a risk-taking mindset in pursuit of opportunities.

Existence

The state or fact of living or being present in a certain context or environment.

Survival

The ability of an entity, whether an organism or an organization, to continue to live or exist over time, often overcoming challenges and adapting to its environment.

Establishing Business

The process of starting a new company or venture, including planning, making key financial decisions, and completing legal activities required for operation.