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Whenever the price of the mineral remains high, the firm seeks for
New countries
Remains the same
New miners
New deposits
- Option 1: New countries – The firm may explore markets or regions where the mineral is untapped or scarce to diversify and increase its reserves.
- Option 2: Remains the same – Holding existing operations and not expanding further despite high prices. This option usually lacks growth opportunities.
- Option 3: New miners – Hiring additional miners might help increase production, but it does not directly address expanding resources or finding undiscovered minerals.
- Option 4: New deposits – High prices often motivate firms to search for unexplored deposits, expanding their reserves and capitalizing on high prices by increasing accessible resources.
- Correct Answer: Option 4 – New deposits is indeed correct. High mineral prices typically drive firms to locate and develop new deposits to maximize profits.
By: santosh ProfileResourcesReport error
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