Raymond Vernon noticed that in the 1960s, the wealth and size of the U. S. market was a natural incentive to develop new consumer products. What theory did he propose based on this fact?
a. new trade
b. absolute advantage
c. mercantilism
d. product life-cycle
e. comparative advantage

The correct answer is letter "D": product life-cycle.

Explanation:

American economists Raymond Vernon (1913-1999) proposed the "International Product Life-Cycle" in 1966 to explain how goods and services are introduced in the market, reach a peak, to later be forgotten by consumers. According to Vernon, the cycle is composed of four (4) stages:

The introduction stage: successful development of a product and marketing efforts. The growth stage: sales increase, decrease in production costs and higher revenue as a result of the product being noticed by consumers. The maturity stage : wide recognition of the product which brings competition driving the company's efforts to remain the business stable. The decline stage: market saturation which leads to sales decline and the product to become unpopular.

$527.7.if the following was the question  $527.7 is the answer.students who are trying to raise funds have an agreement with a local pizza chain. the chain has agreed to sell them pizzas at a discount, which the students can then resell to families in the local community for a profit. it is expected that of the 500 families in the community, at most 70% will buy pizza. based on a survey of their personal preferences, the students believe that they should order no more than 120 cheese pizzas, no more than 150 pepperoni pizzas, and no more than 100 vegetarian pizzas. they also want to make sure that at least 20% of the total pizzas are cheese and at least 50% of the pizzas are pepperoni. they make a profit of $1.45, $1.75, and $1.98, respectively, for each cheese, pepperoni, and vegetarian pizza they resell. how many pizzas of each type should they buy?