Post Utme Al Hikmah University 2021 Commerce Question 26

Practice objective / multiple choice question 26 from the 2021 Post Utme Al Hikmah University Commerce examination.

Post Utme Al Hikmah University 2021 Commerce Objective / Multiple Choice
Question 26 POST_UTME_AL-HIKMAH_UNIVERSITY • 2021 • COMMERCE • objective

A firm specializes in producing a single product. This specialization allows the firm to reduce costs and increase efficiency. However, it also exposes the firm to a higher risk of market fluctuations. Which of the following is a potential consequence of this specialization?

Answer Options

A. Increased market share
B. Reduced production costs
Correct Answer C. Higher risk of market fluctuations
D. Increased competition
Correct Answer
C
Correct Option:
Higher risk of market fluctuations

About This Question

This is Post Utme Al Hikmah University 2021 Commerce Question 26. It is one of the objective questions from the 2021 Post Utme Al Hikmah University Commerce examination.

View More Post Utme Al Hikmah University 2021 Commerce Questions More Post Utme Al Hikmah University Practice Questions Back to Questions

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support