Question # 6
Multiple Choice
Which of the following explains why James, who operates an apple orchard that sells a very rare type of gourmet apple, would probably
choose NOT to participate in contract production?
O Because he independently grows a unique product, he is already locked in to the best price of the market.
He operates as a price-taker, that so there is no need to contract.
His rare commodity offers an increased cash flow and an expansion of operation.
As a seller of a rare commodity he is in a position to negotiate higher prices than commodity food producers.

Question

shepherdtrip shepherdtrip

23-07-2022
Physics

contestada

Question # 6
Multiple Choice
Which of the following explains why James, who operates an apple orchard that sells a very rare type of gourmet apple, would probably
choose NOT to participate in contract production?
O Because he independently grows a unique product, he is already locked in to the best price of the market.
He operates as a price-taker, that so there is no need to contract.
His rare commodity offers an increased cash flow and an expansion of operation.
As a seller of a rare commodity he is in a position to negotiate higher prices than commodity food producers.

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samueladesida43 samueladesida43 · Answer 1 · 2022-07-28T19:43:08+02:00

The statement that explains why James, who operates an apple orchard that sells a very rare type of gourmet apple, would probably choose not to participate in contract production is because he independently grows a unique product, he is already locked in to the best price of the market (option A).

What is contract manufacturing?

Contract manufacturing or production occurs when a small business hires another company to produce its products.

This enables small business individuals to begin selling their products without obtaining the large amount of capital necessary to build and run a factory.

However, according to this question, James is a business individual who operates an apple orchard that sells a very rare type of gourmet apple.

Therefore, James would not need to participate in contract production because he independently grows a unique product, he is already locked in to the best price of the market.

Learn more about contract production at: https://brainly.com/question/13373253

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