Ash is the preferred wood to be used in the production of baseball bats.If a company was to buy the rights to harvesting the ash trees out of all the forests in North America,which of the following barriers of entry has this company created?
A) control of resources
B) problems raising capital
C) economies of scale
D) licensing
E) patents and copyright law

Question

Quizplus · Accepted Answer

By buying the rights to harvesting ash trees out of all the forests in North America, the company has established control over a key resource (ash wood) needed in the production of baseball bats. This creates a significant barrier to entry for any potential competitors who will now need to find alternative sources of ash wood or develop alternative materials for their baseball bats.

Ash Is the Preferred Wood to Be Used in the Production