Which of the following best describes a corporate strategy in the context of economics?

• A. A technique for calculating the equilibrium price in a market.
• B. A government policy designed to regulate market prices.
• C. A long-term plan that outlines how a company will achieve its overall objectives and gain a competitive advantage.
• D. A method used by consumers to maximize utility from limited resources.

Answer: (C)

Verified step by step guidance

1. Step 1: Understand the context of the question, which is about corporate strategy within economics. Corporate strategy refers to the overall plan a company uses to achieve its long-term goals and competitive position in the market.
2. Step 2: Review each option carefully and identify whether it relates to a company's long-term planning or other economic concepts such as market equilibrium, government policy, or consumer behavior.
3. Step 3: Recognize that calculating equilibrium price is a market mechanism concept, not a corporate strategy.
4. Step 4: Understand that government policies regulating prices are external to a company's internal planning and thus not corporate strategy.
5. Step 5: Identify that consumer methods to maximize utility relate to individual decision-making, not corporate-level planning. Therefore, the best description of corporate strategy is a long-term plan outlining how a company will achieve its objectives and competitive advantage.