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musickatia [10]
3 years ago
11

ACE Electronics introduces a new voice-activated personal computer that no longer requires a keyboard. ACE charges the high pric

e of $11,000 per unit, thus generating large profits because it has a 20 percent market share. ACE's major problem in the future will most likely bea) survival.b) cash flow.c) competition.d) return on investment.e) profit.
Business
1 answer:
ArbitrLikvidat [17]3 years ago
6 0

Answer:

C) competition

Explanation:

ACE's new computer is in the introduction stage of the product life cycle. It is a very new and different product and therefore ACE can charge a high price until the growth stage begins. During the growth stage, the product's demand will increase and it will become a normal available product, that will attract several competitors into the market. Competitors might introduce newer versions of the product which are slightly different, but specially the price will be a decisive factor. As more competitors enter the market, the price will fall.

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