215k views
0 votes
Which option will cause a business to lose money from a failing product?

A) Effective marketing strategies
B) Quality control measures
C) Innovation and product improvement
D) Unsatisfied customer base and declining sales

1 Answer

3 votes

Final answer:

A business will lose money from a failing product due to an unsatisfied customer base and declining sales, as this reflects a product not meeting market demand leading to revenue loss.

Step-by-step explanation:

The option that will cause a business to lose money from a failing product is D) Unsatisfied customer base and declining sales. In the context of a market-oriented system, businesses must adapt quickly to the shifting conditions of demand and supply to avoid sustained losses. An unsatisfied customer base and declining sales are a direct indicator that a product is not meeting consumer needs, leading to loss of revenue and potentially resulting in the exit of the business from the market if the issue is not addressed. Poor management, productivity, and competition are some additional factors that can drive a business toward failure.

User Jsaddwater
by
8.4k points