Question

Das Work and Edge Tech are electronics manufacturing companies competing to serve the same customers. The labor-related expense per product for Das Work is $30 higher than that for Edge Tech. However, Das Work makes more profits than Edge Tech. In this case, which of the following actions has contributed to the profits made by Das Work?

a. It provides free home delivery of purchased goods.
b. It has recently introduced the comparable-worth policy for employees.
c. It produces high quality goods and charges more for these products thancompetitors.
d. It has a company website where customers can purchase goods online.
e. It does not provide overtime pay to employees who work more than 40hours in one week.

Answer 1

Answer: c. It produces high quality goods and charges more for these products than competitors.

Step-by-step explanation:

From the question, we are informed that Das Work and Edge Tech are electronics manufacturing companies competing to serve the same customers and that the labor-related expense per product for Das Work is $30 higher than that for Edge Tech but Das Work makes more profits than Edge Tech.

In this case, what has contributed to the profits made by Das Work is that Dad Work produces high quality goods and charges more for these products than competitors. This will help increase the revenue and profit made by the firm.