Answer:
Option C. is correct
Explanation:
Externality refers to the impact of market exchange on a third party that is a person who is external to the exchange.
Location externalities include skilled labor force, supporting industries in place, etc.
Location externalities are considered a country-specific factor when choosing a location of production.
So,
Option C. is correct
Answer:
-
Rivalry between competitors
- Bargaining power of suppliers
- Bargaining power of customers
- Threat of new competitors
Explanation:
The factors chosen to identify whether or not a sector presents a good business opportunity for a company, were the strengths of Porter, who analyzes the micro and macro environment to determine whether a company can be competitive in the market.
The rivalry between competitors is an essential factor to measure the degree of opportunity for a business to be successful, as this factor will determine different variables among competitors of similar products in the market, such as the strength of the brand, the demand for your product, etc. in order to measure how this factor will directly impact your business.
The bargaining power of suppliers implies the bargaining power of the supplier with the company, being able to provide favorable or unfavorable conditions to a business, such as price, delivery time, quality, etc.
The bargaining power of buyers means measuring and monitoring how your product will have a positive or negative weight on the customer and which affects the volume of purchases, the possibility of the customer negotiating with the company, etc.
And the threat of new competitors concerns new competitors that can enter the market and directly impact their business, for this the barriers to entry such as legislation, high entry capital, etc. should be analyzed.
Answer:
Present value of Liability is $59,989
Explanation:
Money does not have the same value in future as it has today. The present value calculates the today's value of any that cash flow will be made in future.
Liability = FV = $398,930
Number of years = n = 28 years
Discount rate = r = 7%
Present value = FV / ( 1 + r )^n
Present value = $398,930 / ( 1 + 0.07 )^28
Present value = $398,930 / 6.65
Present value = $59,989.47
Answer:
Let Sanguine Wines Ltd. refer to a hypothetical company for the purpose. Following would constitute Sanguine Wines Ltd's variable costs:
- Raw Material or input prices: The raw material or inputs of sanguine wines limited purchases from suppliers such as dried grapes, sugar and the likes. The price of such inputs is prone to seasonal fluctuation and thus variable
- The performance related incentive for employees for number of bottles of wine created, would be variable cost as it would vary with the no of bottles produced.
- Discount allowed to distributors which varies based upon the number of bottles purchased by them.
- Commission paid to wine salesperson which varies with respect to bottles sold.
Answer:
Curiosity. Technology develops at different rates and in different ways around the world.
A Sense of Impatience. Entrepreneurs need impatience in order to recognize inefficiencies
Sociability. It’s important for any entrepreneur to have a good network of like-minded people to
Explanation:
