A firm must devote people, time, and money to designing a new product. Because any firm has only limited resources, it
A) faces a trade-off, because resources used to develop one product will not be available to develop another product.
B) should wait until its competitors develop a similar product before deciding on devoting resources to its own product development.
C) is not able to develop more than one new product at a time.
D) must be certain that the product it chooses to develop will be successful or it will not be able to stay in business.
A
You might also like to view...
The ratio of nominal GDP to money supply is referred to as:
A) velocity. B) inflation ratio. C) Fischer's ratio. D) price index.
Mutual funds that allow shares to be redeemed at any time at a price that is tied to the asset value of the fund are known as
A) close-end funds. B) open-end funds. C) asset-value funds. D) redeemable funds.
A government wants to establish a minimum wage for workers to raise the standard of living for a large segment of the population. Where should the government set the minimum wage relative to W E ?
a. above W E
b. below W E
c. equal to W E
d. W E is irrelevant.
If the price elasticity of demand for water is inelastic, which of the following could be a possible value of the elasticity?
A. 2 B. 1 C. 0.5 D. All of these