Which of the following is the most important factor influencing the decision of a firm to enter a new market?
A)The effect of the firm's entry on product prices
B)The effect of the firm's entry on the interest rate
C)The prevailing tax rate
D)The type of government in power

Question

Quizplus · Accepted Answer

The most important factor influencing the decision of a firm to enter a new market is the effect of the firm's entry on product prices. This is because product prices directly impact the firm's revenue and profitability in the new market. Other factors like interest rates, tax rates or type of government may also be important, but they are not as critical as the impact on product prices.

Which of the Following Is the Most Important Factor Influencing