pls help.

1 pts Question 8 During the last decade, Organix Cosmetics has successfully specialized in cosmetic (makeup) products made from natural, hypo-allergenic (i.e. non-allergenic) ingredients. Organix does not test its products on animals. It has a strong following and its products are highly recommended by both dermatologists and supporters of animal rights. Its prices are higher than other cosmetic producers. Organix's main supplier has announced that the price for an important ingredient will be 15 percent higher next year. If Organix raises its prices, it will be forced out of business. Organix will be able to pass much of the increased cost on to its customers. If Organix raises its prices, customers will turn to less expensive cosmetics. Organix probably operates on very thin margins, so a cost increase will challenge its ability to earn average returns. Question 9 1 pts Being an established incumbent firm may provide a competitive advantage in all EXCEPT which of the following? When there are significant learning curve effects. When you can establish precommitment contracts with your suppliers. When the minimum efficient scale is low. When you can establish a leading brand. Question 10 1 pts Firms must build a gizmometer in order to enter the gizmo industry, which is highly cyclical. Gizmometers are large, relatively expensive factories for producing gizmos, but the assets can easily be sold to be used to make widgets in widget factories. Strategic and economic theory tell us that all of the following are true except: This industry is likely to be characterized by relatively unstable pricing Sunk costs are high This industry is likely to be fairly concentrated. There are benefits to taking on large amounts of debt to expand production