____________________ Is Usually Motivated by a Need to Increase Quality

question 31

Multiple Choice

____________________ is usually motivated by a need to increase quality, reduce operating expense, and provide more efficiency.

• A) The building of a new plant
• B) The replacement of old equipment
• C) The need to maintain a competitive advantage
• D) Acquiring new technology
• E) Increasing the operations budget

---

Definitions:

Competitive Price-searcher

A firm that participates in a market where prices are determined through competition, yet possesses enough market power to influence prices by adjusting its output.

Restaurant Industry

A sector of the economy comprised of establishments primarily engaged in preparing meals, snacks, and beverages for immediate consumption by the public.

Entry Barriers

Obstacles that make it difficult for new entrants to enter a market, potentially including high initial costs, regulatory hurdles, and strong incumbents.

Demand Curves

Graphical representations showing how the quantity demanded of an item changes at different prices.