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From the microeconomics theories that you have studied, provide TWO suggestions for the cement industry to...

From the microeconomics theories that you have studied, provide TWO suggestions for the cement industry to achieve a sustainable growth. 8 marks

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Expert Solution

The current issue of cement industry is the rising price; this effects on real estate construction and selling. Builders are having tough time. The main reason of such rising price is most of the firms in the industry are not producing at high capacity level like 82% and above. They are actually producing at less than 80% level. Since the fixed cost is very high there, it recovers through lower units of production that makes price rise.

Rahul Sunny answered 2 months ago
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