BUISENESS MANAGEMENT
FINANCIAL MANAGEMENT
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
Specialization by countries can increase production efficiency
|
|
|
The markets for the various resources used in production are “imperfect.”
|
|
|
As a firm matures, it may recognize additional opportunities outside its home country.
|
|
|
None of the above
|
Detailed explanation-1: -Imperfect markets are characterized by having competition for market share, high barriers to entry and exit, different products and services, and a small number of buyers and sellers. Perfect markets are theoretical and cannot exist in the real world; all real-world markets are imperfect markets.
Detailed explanation-2: -The most common examples of imperfect competition are monopoly, monopolistic competition, and oligopoly.
Detailed explanation-3: -Imperfect competition can be found in the following types of market structures: monopolies, oligopolies, monopolistic competition, monopsonies, and oligopsonies.
Detailed explanation-4: -In the case of a perfectly competitive market, the sellers cannot decide the price of the products. The prices are set by market forces. So, the sellers are price takers in competitive markets. In the case of imperfectly competitive markets, the sellers can decide the prices so they are price makers.