Offering a promotion during a peak period that has significant forward buying creates even more variable demand than before the promotion
Indicate whether the statement is true or false.
Answer: TRUE
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The forecasting and valuation process is particularly difficult for ______________________________ when the near term free cash flows tend to be negative
Fill in the blank(s) with correct word
What evidence is there for the existence of a glass ceiling?
What will be an ideal response?
The race among rivals for industry leadership is more likely to be a marathon rather than a sprint when
A. new industry or market segments are yet to be developed and create altogether new consumer demand. B. entry barriers are high, substitute products or services are readily available, and buyers are prone to negotiate aggressively for better terms and lower prices. C. there are nearly always big advantages to being a slow mover rather than an early mover, especially in regard to avoiding the "mistakes" of first or early movers. D. the market depends on the development of complementary products or services that are currently not available, buyers have high switching costs, and influential rivals are in position to derail the efforts of a first mover. E. fast followers find it easy to leapfrog the pioneer with even better next-generation products of their own.
San Ruiz Interiors provides design services to residential and commercial clients. The residential services produce a contribution margin of $450,000 and have traceable fixed operating costs of $480,000. Management is studying whether to drop the residential operation. If closed, the fixed operating costs will fall by $370,000 and San Ruiz' income will:
A. increase by $30,000. B. decrease by $340,000. C. increase by $340,000. D. increase by $80,000. E. decrease by $80,000.