Managerial Economicsintermediate
Select ALL factors the manager should assess before deciding whether to produce a new product such as powdered eggs.
Answer
Availability and adaptability of skilled and unskilled workers, Production and marketing costs, Demand for the product, The product's demand elasticity
Explanation
### Why this is right
- **Availability and adaptability of skilled and unskilled workers** determine whether the production tasks can be staffed appropriately.
- **Production and marketing costs** affect whether the product can be made and sold economically.
- **Demand for the product** indicates whether buyers are likely to purchase it.
- **The product's demand elasticity** indicates how responsive demand is to relevant market changes.
### The concept
A manager should assess both production feasibility and market prospects. A product may be technically possible but commercially unattractive if costs are too high or demand is weak.
### Remember
Check people, costs, demand, and demand responsiveness before committing to production.
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