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Companies May Be Referred to as Leaders and Followers

question 22

Essay

Companies may be referred to as leaders and followers.Explain three ways companies can become leaders.


Definitions:

Budgeted Sales

Forecasted sales revenue for a future period, based on market analysis, historical data, and sales targets.

Target Profit

The amount of profit a company aims to achieve for a specific period.

Unit Sales

The total number of individual units sold.

Net Operating Income

The total profit of a company after operating expenses are subtracted from operating revenues, but before taxes and interest are deducted.

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