When a Firm Already Has Significant Value Built into Its

When a firm already has significant value built into its product offering,increasing value by a relatively small amount requires significant additional costs.The converse also holds,when a firm already has a low-cost structure,it has to give up a lot of value in its product offering to get additional cost reductions.These are the implications relate to the concept of _____.

A) diminishing returns
B) marginal utility
C) surplus value
D) production possibility