Its false.
economies of scale is the reason for downward sloping of total cost curve in long run.
diseconomies of scale is the reason for upward sloping of total cost curve in long run because diseconomies of scale increase the total cost
The purpose of "product differentiation" is to create real or perceived product differences.
<h3>What is product differentiation?</h3>
Product differentiation improves brand loyalty, sales, and growth by differentiating what you sell from what your rivals provide.
The significance of product differentiation-
- It creates a competitive advantage and make your product is superior to alternatives on the market.
- Effective product differentiation highlights the special advantages of your products or services.
- It helps to narrow down your audience depending on what they prefer and what you offer.
- You have a differentiated product that offers value to customers when you better match a product's advantages to what your target audience desires than your rivals.
- It helps to enhance brand loyalty and can achieve higher price points.
To know more about the aspects of brand equity, here
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Answer:
One person's spending is another person's income
Explanation:
The economic principle that this statement best represent is one person's spending is another person's income as this refers to the fact that when someone buys a product or service, the money paid represents earnings for the person that owns the business and the employees. In this case, the typewriter shop went out for business because people is not spending money in typewriters and because of that, Alfred doesn't get any income.