Definition:An opportunity cost is the economic concept of potential benefits that a company gives up by taking an alternative action. In other words, this is the potential benefit you could have received if you had taken action A instead of action B. What Does Opportunity Cost Mean? Contents[...
Opportunity cost is the profit that was lost or missed because of some action or failure to take some action. Some refer to opportunity cost as opportunity lost. Example of Opportunity Costs Assume that you want to add a website to your already successful business. You are confident that it...
Some examples of opportunity costs in business include: Investment decisions, where you might choose between investing in a new product or expanding an existing successful one. Here, the opportunity cost is the potential return you’d stand to gain from the unchosen option. Resource allocation can...
What is opportunity cost? Opportunity cost refers to the value a person could have received but passed up in pursuit of another option. So, if you were to wait in line for free ice cream, you actually give up the opportunity to do somethin...
Considering the costs associated even with wise decisions is important to decisions going forward. While this opportunity cost definition chiefly references business strategy, it may also be applied advantageously to personal finance decisions. Trade-off examples Having examples can help to achieve a ...
The basic definition of "opportunity cost" is this:"... the value of the next-best choice available to someone who has picked between several mutually exclusive choices."Source: Wikipedia - Opportunity CostLet's look at a few examples here:...
Ask a question Search AnswersLearn more about this topic: Opportunity Cost | Definition, Calculation & Examples from Chapter 1 / Lesson 6 235K Learn what is opportunity cost, including the opportunity cost definition, assessment and examples. See how to calculate opportunity cos...
Opportunity Cost relates us to the potential gain that is given up for another alternative. Opportunity cost occurs due to the lack of resources such...Become a member and unlock all Study Answers Start today. Try it now Create an account Ask a...
Learn the key steps to building a sales plan that is adaptable while also empowering your reps to sell efficiently.
Definition:TheOpportunity Costrefers to the expected returns from the second best alternative use of resources that are foregone due to the scarcity of resources such as land, labor, capital, etc. In other words, the opportunity cost is the opportunity lost due to limited resources. ...