Final answer:
Two important factors for a company's production and selling decision are profitability and consumers' needs and wants, which require attention to market structure and optimal supply strategy.
Step-by-step explanation:
The two important factors in a company's decision to produce and sell a good or service are whether the company can make a profit from producing and selling the good/service, and understanding the consumers' needs and wants. A company must ensure that the cost of production is lower than the revenue they expect to generate to achieve profitability. Moreover, companies must align their products and services with what consumers demand, thereby creating goods that people both need and desire. This includes considerations of market structure, such as competition levels, market power, and the uniqueness of the product in the current market landscape.
In making these decisions, companies must also consider what products should be produced, the appropriate production process, the volume of output, the right pricing strategy, and the amount of labor to employ. Balancing these elements in relation to production and cost conditions, as well as market structure, firms can determine their optimal supply strategy to maximize profits and meet market demand.