The ability of a company to determine supply prices to a certain extent. This is primarily possible due to – a (quasi)monopoly, such as OPEC, – an excellent unit value ratio, which expresses very high product quality and thus usually a leading technological position, – or other preferences such as brand name and other circumstances, such as government backing in any form. – Because the risk for loans to such companies is lower than for the average borrower of a bank, they are usually serviced at more favorable conditions. This in turn strengthens the earning power of the companies concerned. – See credit rating class, producer prices, industrial, import content, credit risk, credit risk premium, crisis vulnerability, degree of openness, risk adjustment, structural change, terms of trade, exchange rate, competitiveness, interest allocation function.
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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/