Which of the Following,if True,would Weaken the Case for Short

question 113

Multiple Choice

Which of the following,if true,would weaken the case for Short and Shearer buying an existing business?

• A) Short and Shearer could more easily obtain financing for the purchase.
• B) Buying an existing business involves fewer legal hurdles than starting a new one.
• C) Franchises have more potential for success than single-facility businesses.
• D) Short and Shearer have limited funds to start with.
• E) Existing businesses cost less to purchase than new ones.

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Definitions:

Chicken

a domesticated bird commonly raised for its meat and eggs; also can denote a game in which two players head towards each other, and the first to veer away is considered the loser.

Payoff

The return or gain received from an investment or decision, representing the benefits accruing to the involved parties.

Pure Strategy Equilibria

In game theory, a situation where each player chooses one strategy and no player can benefit by changing their strategy while the other players keep theirs unchanged.

Swerve

A sudden change in direction or position, often used in strategic contexts to describe a deviation from a previously expected path.