**Core Concept**
The regulation of insulin receptors plays a crucial role in glucose homeostasis. An increase in insulin receptors can lead to improved insulin sensitivity, allowing glucose to enter cells more efficiently.

**Why the Correct Answer is Right**
Increased insulin receptors are typically seen in tissues that have a high demand for glucose, such as skeletal muscle during exercise. This increase in receptors is a result of the muscle's need for more glucose to fuel contractions, leading to an upregulation of insulin receptors to facilitate glucose uptake. This process is mediated by various signaling pathways, including the Akt pathway, which is activated by insulin binding to its receptor.

**Why Each Wrong Option is Incorrect**
**Option A:** This option is incorrect because decreased insulin receptors are typically associated with conditions such as type 2 diabetes, where insulin resistance is a hallmark.
**Option B:** This option is incorrect because the liver does not have a high demand for glucose during exercise, and insulin receptors are not typically upregulated in this tissue.

**Clinical Pearl / High-Yield Fact**
It's essential to remember that exercise can improve insulin sensitivity by increasing the number of insulin receptors on skeletal muscle cells. This is a key concept in the management of type 2 diabetes and other metabolic disorders.

**Correct Answer:** C.