New Ventures

question 63

Multiple Choice

New ventures:

• A) should be killed if they don't make a profit within three years.
• B) are often preferred by technology-based companies.
• C) are more attractive compared to acquisitions when entry barriers are high.
• D) are less risky than acquisitions.
• E) are best when the company is entering the industry on a small scale.

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Definitions:

Decision-making Innovations

Refers to new methods, processes, or technologies that enhance the way decisions are made in organizations or societies.

Industrialized Countries

Nations characterized by a highly developed economy and technological infrastructure, with a significant portion of the population engaged in manufacturing and services.

Early 1970s

A period that marks the beginning of the 1970s decade, often associated with significant cultural, political, and social changes worldwide.

Labor Market Segmentation

Is the division of the market for labor into distinct settings. In these settings, work is found in different ways and workers have different characteristics. There is only a slim chance of moving from one setting to another.