Initially the Beef and Mutton Markets Are in Equilibrium, Then

question 199

Multiple Choice

Initially the beef and mutton markets are in equilibrium, then preferences shift away from beef and into mutton. If you are a cattle rancher, the best profit-maximizing strategy is to

• A) shut down.
• B) increase output so as to increase your market share.
• C) shift some of your ranching capacity into cattle raising.
• D) decrease output so as to minimize short run losses.

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Definitions:

Operations Management

This sector of management deals with formulating and managing the processes involved in producing and innovating business operations for the production of goods or services.

Just-In-Time Performance

is an inventory strategy companies use to increase efficiency and decrease waste by receiving goods only as they are needed in the production process.

Low Bid Purchasing

A procurement strategy where contracts are awarded to the supplier offering the lowest price for goods or services, often utilized in public sector procurement.

Postindustrial Societies

Societies characterized by an economy where the service sector produces more wealth than the manufacturing sector.