Mutual Fund Products Amplitude Investments offers a variety of mutual fund products for investors with different preferences. When they develop a new product for an under-served niche, they find out that their competitors will imitate them within a few months. Is investigating and developing new products going to be profitable for Amplitude?
These new products are creating value as the under-served niche customers do value them. However, they are not able to capture this value for very long as competitors can copy them quickly. This is only likely to be profitable if the cost of developing a new product is trivially low.
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The only type of business that faces unlimited liability is a sole proprietorship
Indicate whether the statement is true or false
Prices serve the public interest by
A. making resource owners wealthy. B. rationing scarce resources. C. keeping poor people from purchasing more than they can afford. D. forcing the government to participate in the market.
Which of the following is not a source of economies of scale?
a. Division and specialization of labor. b. Increase in output. c. More efficient use of capital. d. All of the above. e. Centralized marketing.
The necessary condition(s) to realize economies of scale include
A. having the financial resources for the high capital costs. B. having sufficient demand for the product. C. both financial resources for the high capital costs and sufficient demand for the product.