Answer to Question #134965 in Microeconomics for Steve Nnaji

Question

Are there any ways in which Microsoft can reduce the undesirable effects of the law of
diminishing returns?

Answer 1

There are various ways in which Microsoft can use to reduce undesirable effect of the law of diminishing returns.

1. First, they need to employ more variable factors like investment on software developers which help in new package release.
2. They should also strategize promotional or marketing that help increase sales and returns.