The CAPM Asserts That the Only Company Specific Factor Affecting

question 58

Multiple Choice

The CAPM asserts that the only company specific factor affecting required return is:

• A)market risk.
• B)the risk-free rate.
• C)investment risk.
• D)risk aversion.

---

Definitions:

Beachhead Market

An initial target market that a company focuses on penetrating to establish a strong presence before expanding to broader markets.

Crossing The Chasm

A marketing theory that describes the challenge of transitioning from early adopters of a product or service to a broader mainstream market.

Positioning

A marketing strategy that focuses on how your customers think or talk about product and company relative to competitors.

Psychographics

The study and classification of people according to their attitudes, aspirations, and other psychological criteria, especially in market research.