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geniusboy [140]
3 years ago
9

The computer accessories that Javier is making and

Business
1 answer:
andrezito [222]3 years ago
4 0

Answer:

E. Profit motive

Explanation:

Profit motive can be defined as the intention, motivation or desire to form a business or engage in business ventures so as to generate financial (monetary) gains.

This ultimately implies that, profit motive is a desire for monetary gains (profits) which motivates a business owner to engage in the sales of finished goods or services.

Hence, profit motive is the premise on which all businesses are built on because the ultimate goal of every business is to achieve financial gains.

In this scenario, the computer accessories that Javier is making and selling are bringing in a substantial amount of money for him. Inspired by this success, he decides to hire two people and expand his business.

Thus, this is an example of profit motive.

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The current company has the advantage of being the first carrier, so it can act in a way that it knows will affect the decision of the participant. Assuming incomplete data (ie, the costs of the current firm are known only) can only make assumptions about the cost structure of the participant with price and output levels. Therefore, duty people can use them as a signal to any potential bidder.

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