Question

Neon Electronics Inc. is an electronics manufacturing company. It has adopted a dominant design for its television audio speakers. Which of the following statements is most likely to be true in this scenario?

A. Neon Electronics will have to invest heavily in R&D to come up with new designs for the audio speakers.

B. Neon Electronics will face decreasing returns to its adoption of the dominant design.

C. Neon Electronics will have increased opportunities to develop complementary assets.

D. The design adopted by Neon Electronics will be unpopular among most of the other manufacturers.

Answer

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