Question

In: Finance

Allocating efficient factors of production has determined the success of those unicorns”. Do you agree with...

Allocating efficient factors of production has determined the success of those

unicorns”. Do you agree with that statement? Why?

Solutions

Expert Solution

The factors of production is very important in each economy. It determines the success of the business. There happens to be four factors of production. Those are land, labour, capital and enterpreneurship. If the these are allocated effectively then the sucess can be acheived. As all the sub-factor will fall in one of these factors so a control of all the four means a proper control on the business as a whole and can provide superior returns. So, allocationg effectively determines the success.


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