Ask Question
BusinessBusiness
30 November, 04:29

Does this "stiff competition" mean that the demand curve for McDonald's Chicken McNuggets is horizontal? Briefly explain.

A. Yes, the demand curve is horizontal because McDonald's has market power.

B. No, the demand curve is not horizontal because Chicken McNuggets are not identical to other chicken products.

+5
Answers (1)
  1. 30 November, 05:33
    0
    Answer: I found the complete question on Google:

    By 2017, McDonald's had stopped selling Chicken McNuggets and other products made from chickens fed antibiotics. The change increased McDonald's costs, but an article in the Wall Street Journal noted that " ... McDonald's ability to raise its prices is limited because of stiff competition."Source: David Kesmodel, Jacob Bunge, and Annie Gasparro, "McDonald's to Curb Antibiotics in Chicken," Wall Street Journal, March 4, 2015. Does this "stiff competition" mean that the demand curve for McDonald's Chicken McNuggets is horizontal? Briefly explain.

    And the correct answer is: "B. No, the demand curve is not horizontal because Chicken McNuggets are not identical to other chicken products.".
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Does this "stiff competition" mean that the demand curve for McDonald's Chicken McNuggets is horizontal? Briefly explain. A. Yes, the ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Match, an online dating service, offers you an internship to collect and analyze data. Your primary task is to test the correlation between happiness and dating.
Answers (1)
Which of the following refers to the principal-agent problem in the market for health care? a. Doctors pursuing their own interests rather than the interests of their patients. b.
Answers (1)
the state of illinois has a sales tax of 6.25%. susie earns $26,000 per year as a hair stylist and jimmy earns $72,000 per year as a public accountant. both spend a total of $3800 per year on clothing.
Answers (1)
Adversity affects today's families, just as the Black Death affected families from earlier times. What kinds of adverse challenges do today's families face and how can they manage the
Answers (1)
A 2015 study of hospitals, power plants, and water utilities found that government-owned and operated companies were more likely than private companies to violate health and safety laws.
Answers (1)
New Questions in Business
What is a great marketing strategy
Answers (2)
On January 1, 20X8, Package Company acquired 80 percent of Stamp Company's common stock for $280,000 cash.
Answers (1)
Tombert Decorating uses a job order cost system to collect the costs of its interior decorating business. Each client's consultation is treated as a separate job. Overhead is applied to each job based on the number of decorator hours incurred.
Answers (1)
Suppose that cookie producers create a positive externality equal to $2 per dozen. What is the relationship between the equilibrium quantity and the socially optimal quantity of cookies to be produced? a. They are equal. b.
Answers (1)
Comfort Cloud manufactures seats for airplanes. The company has the capacity to produce 100,000 seats per year, but currently produces and sells 75,000 seats per year.
Answers (2)
Home » Business » Does this "stiff competition" mean that the demand curve for McDonald's Chicken McNuggets is horizontal? Briefly explain. A. Yes, the demand curve is horizontal because McDonald's has market power. B.
Sign Up Forgot Password?