GoFresh and Heptol are leading shower gel producers in a market. The two firms are large enough to cover almost the entire market demand. A new firm that is comparatively smaller wants to enter the market. In the given scenario, which of the following statements is most likely to be true?
a. The new firm cannot enter the market because it does not fulfill the legal requirements
b. The new firm cannot enter the market because its product is not liked by the consumers.
c. The new firm cannot enter the market because it is technologically difficult for it to produce shower gel.
d. The new firm cannot enter the market because it is too small to spend a considerable amount of money on advertising.
d
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Suppose Ford Motor Company issues a 5% bond with a stipulation that if a national index of SUV sales drops by 10%, then Ford can decrease the coupon rate to 3%. This security is called a
A) credit option. B) credit swap. C) credit-linked note. D) credit default swap.
Philip purchased one million dollars' worth of New York City bonds. His interest earnings were $100,000 . His total federal tax on this income will be
a. $40,000 . since his marginal tax rate was 40 percent. b. $40,000 . since only 40 percent of capital gains is taxed. c. zero. d. very small, since he had a clever accountant who knew how to use loopholes.
Macroeconomics deals with the concept of: a. individual households. b. market structures
c. market concentration. d. economic growth.
Corporate profits is the largest category of national income
Indicate whether the statement is true or false