The Power of Buyers Will Increase When

question 206

Multiple Choice

The power of buyers will increase when:

• A)the number of buyers is high.
• B)there are high switching costs.
• C)the product represents a small share of the buyer's total cost.
• D)the number of buyers is low.

---

Definitions:

Semi-Strong Form

A hypothesis suggesting that all publicly available information is already reflected in stock prices, negating the ability to earn excess returns.

Information Announcement

A disclosure of new, relevant details intended to inform investors, employees, and the public about a company's financial health, operational changes, or other significant news.

Stock Price

The current price at which a share of a company is being traded on the stock market.

Common Stock

A type of security that represents ownership in a corporation, with holders usually having voting rights and potentially receiving dividends.