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Higher costs that result from increased competition in an industry will:YOUR ANSWERYour Answerimprove a business’s financial liability.have no change on a business’s financial liability.increase, decrease or have no impact on a business’s financial liability.decrease a business’s financial liability

Question

Higher costs that result from increased competition in an industry will:YOUR ANSWERYour Answerimprove a business’s financial liability.have no change on a business’s financial liability.increase, decrease or have no impact on a business’s financial liability.decrease a business’s financial liability

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Solution

Increase, decrease or have no impact on a business’s financial liability.

Here's why:

  1. Increase in costs: If the competition in an industry leads to higher costs for a business, it could potentially increase the business's financial liability. This is because the business would need to spend more to stay competitive, which could lead to higher debts or liabilities.

  2. Decrease in costs: On the other hand, increased competition could also potentially decrease a business's financial liability. This could happen if the business finds more efficient ways to operate in order to stay competitive, which could lower costs and therefore decrease liabilities.

  3. No change in costs: Finally, it's also possible that increased competition could have no impact on a business's financial liability. This could be the case if the business is able to maintain its current level of costs despite the increased competition.

So, the impact of increased competition on a business's financial liability could increase, decrease, or have no impact, depending on the specific circumstances.

This problem has been solved

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igher costs that result from increased competition in an industry will:

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