Cost reduction pressures can be particularly intense in industries producing
A) commodity-type products.
B) highly differential products.
C) goods that do not compete on the basis of price.
D) goods servicing narrowly defined markets.
E) highly advertised goods.

Question

Quizplus · Accepted Answer

Industries producing commodity-type products typically have low profit margins and face intense competition on the basis of price, which leads to cost reduction pressures to maintain profitability.

Cost Reduction Pressures Can Be Particularly Intense in Industries Producing