Managing for Long-Run Profits Implies That a Company

question 196

Multiple Choice

Managing for long-run profits implies that a company

• A) will give up immediate profit in exchange for achieving a higher market share in hopes of penetrating competitive markets.
• B) will maintain a given price range to ensure there is no loss of customers over time, even if the profit margin declines.
• C) all profits will be invested in bonds or other certificates of deposit in order to counteract any drastic economic changes in the future.
• D) all profits will be reinvested into market research or product research rather than returned to shareholders.
• E) all products, product lines, or divisions that cannot maintain their pricing goals will be dropped.

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Definitions:

Adversary System

A legal system where two opposing parties present their arguments to a neutral judge or jury for decision-making.

Inquisitorial System

A legal system where the court or a part of the court is actively involved in investigating the facts of the case.

Procedural Justice

Refers to the fairness in the processes that resolve disputes and allocate resources.

Legal System

The framework of rules and institutions within a society aimed at regulating conduct, protecting rights, and administering justice.