Which of the following is most likely to be a barrier to exit?
A)high advertising expenses
B)specialized assets
C)many product substitutes
D)high customer power
E)R&D expenses

Question

Quizplus · Accepted Answer

Specialized assets are assets that are specific to a particular industry or company and are difficult to convert or sell to other parties. This can make it difficult for a company to exit the industry without incurring significant losses. High advertising expenses, many product substitutes, high customer power, and R&D expenses are not barriers to exit, although they may contribute to overall industry competitiveness.

Which of the Following Is Most Likely to Be a Barrier