Answer:
decide to increase advertising expenditures even if it means a reduction in profits.
Explanation:
An oligopoly can be defined as a market structure comprising of a small number of firms (sellers) offering identical or similar products, wherein none can limit the significant influence of others.
Hence, it is a market structure that is distinguished by several characteristics, one of which is either similar or identical products and dominance by few firms.
The characteristics of an oligopolistic market structure are;
I. Mutual interdependence between the firms.
II. Market control by many small firms.
III. Difficult entry to new firms.
Under oligopoly, if a business firm decides to significantly increase its advertising expenditures in order to increase its market share, it is most likely that other business firms in that industry will decide to increase advertising expenditures even if it means a reduction in profits.
Basically, the behavior of all business firms is highly dependent on the behavior of the other firms in the industry is oligopoly.
Answer:
Demographic segmentation.
Explanation:
Market Segmentation: Marketers tend to create segments of a whole market to identify the required market they will the push their product into. This helps in cutting marketing costs as the marketer will be focusing on specific segment not on the whole market.
- In the current case, marketer is trying to focus on <em>demographic segmentation.</em>
Demographic segmentation: In this segmentation, marketer creates segments regarding age, sex, religion, ethnicity, gender and income.
Answer:
it helps them save resources.
Explanation:
Outplacement services are those that help an employee that is leaving the firm with obtaining a new job or transitioning to a new career. For employers providing these services provides various benefits that can save resources for the company that may otherwise be wasted on various organizational and legal costs that may arise during termination of work.
Answer:
Correct statement:
income will be $15000 less if Product A is made
Explanation:
<u>Contribution if all units made are Product A:</u>
5,000 machine hours / 2 hours per unit: 2,500 units
2,500 units x $14 per unit: $ 35,000
<u>Contribution if all units made are Product B:</u>
5,000 machine hours / 3 hours per unit: 1,666.67 units
1,666.67 units x $30 per unit: $ 50,000
There is a difference of 50,000 - 35,000 = 15,000 in favor to produce B