The Value Chain for a Merchandising Entity Includes

question 80

Multiple Choice

The value chain for a merchandising entity includes:
i. design.
ii. purchasing.
iii. marketing.
iv. distribution.

• A) i and ii
• B) ii, iii and iv
• C) ii and iv
• D) i, ii and iii

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Definitions:

Profit

The financial gain achieved when the amount of revenue gained from a business activity exceeds the expenses, costs, and taxes involved in sustaining the activity.

Deadweight Loss

A loss of economic efficiency that occurs when the equilibrium for a good or service is not achieved or is unattainable.

Single Price Monopolist

A monopolist who charges all consumers the same price for its product, irrespective of the quantity purchased.

Profit-Maximizing Quantity

The level of output at which a company achieves the highest possible profit, determined by analyzing costs and revenues.