Visionary Optical Research Has Patented a New Type of Implantable

question 31

Multiple Choice

Visionary Optical Research has patented a new type of implantable lens for people with serious eye defects. It does not have access to the financial assets or marketing expertise to begin manufacturing and selling the lenses on a large scale.

• A) VOR should form a strategic alliance with a firm with complementary resources.
• B) VOR should form an R&D joint venture with another firm.
• C) VOR should engage in a joint venture with a firm that has access to restricted markets.
• D) VOR should outsource the manufacturing of the lenses to a company in a low-wage environment.

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Definitions:

Par Value

The nominal or face value of a stock or bond, as stated by the issuing corporation.

Large Stock Dividend

A distribution of a substantial number of shares to a company's shareholders, often used to conserve cash while still rewarding investors.

Market Value

Market value is the current price at which an asset or service can be bought or sold in the market.

Stock Split

A corporate action that increases the number of a corporation's outstanding shares by dividing each share, which in turn reduces the price per share.