Unlimited Liability Means

question 261

Multiple Choice

Unlimited liability means:

• A)When you own your own business you are responsible for all the business debts.
• B)You are only liable for the money you invest in the business.
• C)As a franchisee your franchisor is responsible for the debts of the franchise.
• D)You are liable for whatever advertising promises your firm makes.

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Definitions:

Competitive Environment

The dynamic external system in which businesses compete with each other for customers, resources, and market share.

Competitive Strategy

A long-term plan developed by a company to gain a competitive advantage over its rivals in the industry.

Strategic Leadership

A style of leadership focused on setting long-term visions, creating sustainable competitive advantages, and guiding an organization through strategic changes.

Surplus

The situation in which the quantity supplied of a good exceeds the quantity demanded, often leading to a decrease in prices.