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They can negotiate with wholesalers in order to buy in bulk. Basically, they say "we'll buy tons and tons of this item if you give us a discount." Smaller companies can't afford to make the same negotiation.
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Which best explains why large companies pay less for goods from wholesalers?
Large companies can buy all or most of a wholesaler's stock.
Advantages and disadvantage of privatization of state corporation?
When a state corporation has been privatized there is less bureaucracy. Private companies tend to deliver goods and services more efficiently.
What are the implications for the regulatory authorities of the concept of the minimum efficient scale?
profit per units will decrease meaning that companies will have to sell far greater amounts of goods to achieve high profits, as the contribution per unit will be less as the goods are selling for their minimum price
The term inferior goods refers to what kind of goods?
goods that consumers demand less of when their incomes increases
What are expendable goods?
Type your answer here... expendable goods are those goods that are considered less important and can not attract people from stealing them.
Which best explains why large companies pay less for goods from wholesalers?
Large companies can buy all or most of a wholesaler's stock.
Why do companies pay less for goods from wholesalers?
They can negotiate with wholesalers in order to buy in bulk. Basically, they say "we'll buy tons and tons of this item if you give us a discount." Smaller companies can't afford to make the same negotiation.
Why did chain stores sell goods at lower prices?
Chain stores are able to purchase goods in large volumes for reduced prices from manufacturers, and can then sell the goods to consumers for less money.
How do countries benefit from having a transnational company opening factories there?
With the importation and exportation of foods, Vehicles, And other items such as electrical goods, The quality of life can improve. This will be because their is a larger range and supply of the goods, Meaning their will be less problems getting the goods. None renewable resources such as Coal and Oil supplies can be improved, Due to the large importation from other countries such as Japan or within the EU, So their is no charge of International transportation. Transnational companies such as Oil companies, And even the Fast Food businesses will be able to transport supplies for their factories in other countries, That can also improve the business opportunities due to the large amount of goods available.
Advantages and disadvantage of privatization of state corporation?
When a state corporation has been privatized there is less bureaucracy. Private companies tend to deliver goods and services more efficiently.
What are the implications for the regulatory authorities of the concept of the minimum efficient scale?
profit per units will decrease meaning that companies will have to sell far greater amounts of goods to achieve high profits, as the contribution per unit will be less as the goods are selling for their minimum price
The term inferior goods refers to what kind of goods?
goods that consumers demand less of when their incomes increases
Why do US companies need to export to Europe and Russia?
To make profits. Companies need customers. If someone wants their products, they will sell them to them. There are many products that companies in the US make that people in Europe and Russia, and other parts of the world, want to buy. So naturally the companies will sell to them. That creates bigger profits for the companies and creates many jobs in the US. If they only made goods for the US and did not export anything, there would be less jobs and less profits, which obviously would not be a good thing.
How can lean manufacturing and near-sourcing help a company gain a competitive edge and prepare for the future?
Lean ManufacturingLean manufacturing is the production of goods using less of everything than in mass production: less human effort, less manufacturing space, less investment in tools, and less engineering time to develop a new product. A company becomes lean by continuously increasing its capacity to produce high-quality goods while decreasing its need for resources.23 Here are some characteristics of lean companies:24 lean manufacturingThe production of goods using less of everything compared to mass production.
What are expendable goods?
Type your answer here... expendable goods are those goods that are considered less important and can not attract people from stealing them.
Why do companies offer discounts for large quantities?
Companies offer discounts for large orders because it allows them to clear out their warehouse more efficiently and cost less in two ways; firstly, less transportation is needed on their part (one warehouse as opposed to a hundred small orders) and secondly it provides instant cash as opposed to waiting for the products to sell individually. Companies like Wal-Mart use this fact to help gain better prices for their customers.
Why did the cottage industry disappear?
manufactured goods cost less to make than handmade goods
