A ?rm can exploit the learning effect by:
A) increasing the number of stages in its value chain.
B) diversifying into unrelated markets.
C) growing organically and merging with a rival ?rm.
D) acquiring smaller, ine?cient competitors.

Question

Quizplus · Accepted Answer

The learning effect can be exploited through organic growth and mergers with rival firms, as this allows a firm to increase its scale and scope of operations, thereby gaining efficiencies and knowledge that reduce costs and improve performance over time.

A ?Rm Can Exploit the Learning Effect By