Question

Megan johnson owns a kitchen and bathroom cabinet company. her market research is telling her that she is taking business away from the large home improvement stores in her trade area. one thing that megan is worried about is that the large stores might fight back by lowering their prices, which hurts everyone except the consumer. the day-to-day challenge of firm growth that this example is referring to is ________.

Answer 1

The day to day challenge of firm growth that this example is referring to is PRICE STABILITY.
Price stability in a market or an economy means that the price of a particular commodity does not change much over a period of time. One of the challenges that companies face on a daily basis is the price level of their products in the market. Any external factor that lower the price of a company's commodity will have adverse effects on the company and lower its profits.