Gameware recently entered the German market. Gameware executives also wanted to enter the Canadian market but had to delay the entry because of limited resources. What type of costs will Gameware incur as a result of being unable to enter the Canadian market?
A) indirect costs
B) direct costs
C) opportunity costs
D) variable costs

Question

Quizplus · Accepted Answer

Opportunity costs represent the benefits a company misses out on when choosing one alternative over another. In this case, Gameware incurs opportunity costs by not entering the Canadian market due to limited resources, as it misses out on potential profits and market share in Canada.

Gameware Recently Entered the German Market