Markus is in charge of production for a family-owned company that makes and sells kitchen utensils. He has stated that the speed of delivery is the most important factor for success in the competitive environment. Which of the following would be the best response to Markus?
a. Dude, you couldn't be more wrong. Quality is the name of the game. He who has the best product will win in the competitive environment.
b. Well Markus, speed isn't everything. What would exceed our customers' expectations? Some consumers may put more importance on high quality and/or lower prices.
c. You are the man, Markus. As long as our price is competitive, speedy delivery will win in today's changing marketplace.
d. You are right on target, Markus. Time is money.

answer; read and consider the content of the items;

answer: in the short-run firms will respond by raising the price of turkey.

explanation: initially the long-run equilibrium is at a price of $5 per pound of turkey and a quantity of 50 million pounds per year. now, when webmd claims that a protein found in turkey will increase your expected lifespan by 4 years. the consumers demand for turkey will increase at every price shifting the demand curve to the right from d1 to d2. while, there will be no change in the supply curve in the short-run as it is not possible for producers to adjust supply so quickly. as a result the new equilibrium will occur at a higher price and a higher quantity of turkey.

thus, in the short run firms will respond by increasing the price of turkey, selling more quantity at a higher price and earning economic profits.