Continued losses in an industry will cause some firms to reduce output or eventually leave the industry.

The statement " Continued losses in an industry will cause some firms to reduce output or eventually leave the industry " is True

Explanation:

The goal of all businesses is to reduced risk and reduce expenses while retaining productivity and deliver a good product at a consistent rate and cost.

Although company owners know how much they can deliver under optimum organisational and financial conditions, this volume is seldom consistently produced by most firms. Unexpected events inevitably lead to less than the expected amount.

For example, a computer may stop working, and employees can stop producing while waiting for machine repairs. In other situations, production is slowed down or halted by planned events.