Firms that achieve competitive parity can expect to:
A) earn below-average returns.
B) earn average returns.
C) earn above-average returns.
D) initially earn above-average returns, declining to average returns.

Question

Quizplus · Accepted Answer

Firms that achieve competitive parity are able to perform at the same level as their competitors, which typically results in earning average returns.

Firms That Achieve Competitive Parity Can Expect To