After you analyzed demand, you took steps to make sure your business made sense financially. how will thinking on the margin increase the chance of long-term success for your business, even if additional competition enters your community?

Thinking on the margin will ensure that each pair of inserts produced is turning a profit. Once a profit is no longer being made on a pair of inserts, production must be cut back. Understanding these margins will also help me stay competitive in a market that is open to other producers. If additional producers enter the market, I know that I have the ability to lower prices or offer discounts while still maximizing profits.

The answer should be b.