A New Firm Typically Starts as a Local Operation Selling

question 156

Multiple Choice

A new firm typically starts as a local operation selling in a fairly circumscribed market by ________.

• A) finding and developing new intermediaries
• B) using a few existing intermediaries
• C) forming partnerships with the market leader
• D) creating a special channel
• E) forming partnerships with other firms

---

Definitions:

Carbon Tax

A levy on the carbon content of fossil fuels, intended to reduce carbon dioxide emissions and combat climate change.

Foreclosures

The legal process by which a lender takes control of a property, evicts the homeowner, and sells the home after the homeowner fails to make full principal and interest payments on a loan.

Banks

Financial institutions that accept deposits, offer loans, and provide a wide range of financial services to individuals and businesses.

Bubble

An economic condition characterized by the rapid escalation of asset prices followed by a contraction when the price increases are not supported by fundamentals.