Choices which firms make about the kinds of products and services they will sell that impact their relative cost position are known as

Question

Quizplus · Accepted Answer

The choices firms make regarding the products and services they sell are known as policy choices. These policy choices have a significant impact on their relative cost position. For example, a firm that chooses to offer high-end, premium products will likely have higher costs associated with production and materials, resulting in a higher relative cost position than a firm that offers simpler, lower-priced products. Therefore, policy choices directly affect a firm's cost structure and overall competitiveness.

Choices Which Firms Make About the Kinds of Products and Services