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Sedbober [7]
3 years ago
10

The market for laundry detergents in a country has several​ players, each with a slightly differentiated product. Squeaky Clean​

Inc. produces and sells​ 20,000 tons of household laundry detergent in this market at a price of​ $4 per pack. Alex​ Dawson, the operations manager of the​ firm, thinks that a​ 50-cent increase in the price per pack of the laundry detergent will increase the​ firm's profits. The marketing​ manager, Rick​ Arnold, however, feels that an increase in price will adversely affect the demand for its product and profits will actually decline. Which of the​ following, if​ true, will strengthen​ Alex's argument?
a. Shares of Squeaky Clean are being actively traded in the stock market.
b. Squeaky Clean has recently launched a new range of car washes.
c. The current prices of most of Squeaky​ Clean's products are lower than the prices of competing brands.
d. The demand for industrial detergents is likely to increase in the near future.
e. A market survey shows that a close rival has now overtaken Squeaky Clean in quarterly sales.
Business
1 answer:
Sedbober [7]3 years ago
5 0

Answer:

c. The current prices of most of Squeaky​ Clean's products are lower than the prices of competing brands.

Explanation:

If this statement was given to be true, it would be evident that Squeaky Clean​ has a competitive advantage based on the lower price, meaning consumers are probably opting for this brand because of the competitive price.

So, if they increase the price for 50 cents, consumers wouldn't perceive it as a deal-breaker, as their median price will still remain lower than those of competitors'.

Therefore, this slight increase in the price of one product will be significant for overall profit.

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Company ABC makes kitchen appliances that have many features in great demand by professional chefs whose only interest is in the
weeeeeb [17]

Answer:

d. quality.

Explanation:

-Delivery area refers to the places in which the appliances can be delivered.

-Quantity refers to the amount of appliances that the company can produce and sell.

-Price refers to the amount of money that customers would pay for the appliances.

-Quality refers to the degree in which the appliances can meet the customer's requirements.

According to this, the answer is that based on its customers, ABC should try to dominate the market in quality because its products meet the expectations of professional chefs and that should be market to focus on as the company can have an important advantage by providing exactly what they need.

The other options are not right because professional chefs are interested on what they can do with this appliances and not on price, quantity or delievery area.

6 0
3 years ago
The Depression transformed and shattered the expectations of the ""American way of life."" Which are examples of the new reality
Ipatiy [6.2K]

Answer:

Followings are the example of new reality of American life during the Depression or war year is given below in the explanation part

Explanation:

The example is given below:

  • Millions of American people made slum areas over the America in free land and fields because they lost their homes
  • country people tried to find jobs in other countries, they did not find the job there.
  • Faintness inverted people from farms to cities

Depression completely changed the way of Americans live

7 0
3 years ago
Vaughn Manufacturing's allowance for uncollectible accounts was $190000 at the end of 2020 and $178000 at the end of 2019. For t
Colt1911 [192]

Answer: $19000

Explanation:

From the question, we are informed that Vaughn Manufacturing's allowance for uncollectible accounts was $190000 at the end of 2020 and $178000 at the end of 2019 and that for the year ended December 31, 2020, Vaughn reported bad debt expense of $31000 in its income statement.

The amount that Vaughn debited to the appropriate account in 2020 to write off actual bad debts will be:

= $31000 - ($190000 - $178000)

= $31000 - $12000

= $19000

8 0
4 years ago
All other things being equal, supply curves slope upwards from left to right because
Svetach [21]

In most cases, the supply curve is drawn as a slope rising upward from left to right, since product price and quantity supplied are directly related (i.e., as the price of a commodity increases in the market, the amount supplied increases). ... A change in any of these conditions will cause a shift in the supply curve.

3 0
3 years ago
A perfectly competitive firm a. has a perfectly inelastic demand. b. has a perfectly elastic supply. c. Answers A and B are corr
den301095 [7]

Answer:

b

e

Explanation:

A perfect competition is characterized by many buyers and sellers of homogenous goods and services. Market prices are set by the forces of demand and supply. There are no barriers to entry or exit of firms into the industry.  

In the long run, firms earn zero economic profit.  If in the short run firms are earning economic profit, in the long run firms would enter into the industry. This would drive economic profit to zero.  

Also, if in the short run, firms are earning economic loss, in the long run, firms would exit the industry until economic profit falls to zero.  

5 0
3 years ago
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