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Which of the following best explains why a large company can undersel small retailers?

A. Large companies can negotiate better prices with wholesalers.

B. Large companies have fewer expenses associated with overhead.

C. Large companies can offer workers lower wages because they provide more jobs.

D. Large companies can pay their employees less because they do unskilled jobs.​

2 Answers

2 votes
C is the correct answer
User JayNCoke
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1 vote

Answer:

A.Large companies can negotiate better prices with wholesalers.

Step-by-step explanation:

The best answer would be A. because it seems more reasonable than the others.

Larger companies can undersell small retailers because they can negotiate with wholesalers better prices than retailers can.Due to the company being large and having money it is more reasonable because it shows that larger companies are known and have enough money to negotiate with the wholesalers.This is how they undersell small retailers.

User Axel Briche
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5.5k points