A difficult economic environment exists for service industries for all but one of the following reasons.
A) Relatively high overall entry barriers.
B) Product substitution.
C) Minimal opportunities for economies of scale.
D) Exit barriers.

Question

Quizplus · Accepted Answer

Relatively high overall entry barriers are not a reason for a difficult economic environment in service industries. In fact, many service industries have low entry barriers due to the minimal need for physical assets or inventory, allowing new competitors to enter the market more easily.

A Difficult Economic Environment Exists for Service Industries for All