What May Potential Adopters Decide to Do During the Persuasion

question 3

Multiple Choice

What may potential adopters decide to do during the persuasion stage?

• A) Reject the innovation
• B) Adopt the innovation
• C) Seek out information about the innovation
• D) Test the innovation for a while

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Definitions:

Plowback Ratio

The proportion of earnings that a company retains and reinvests into its operations rather than distributing as dividends.

Dividend Payout Ratio

The fraction of net income a firm pays to its shareholders in dividends, expressed as a percentage.

Operating Capacity

The maximum output or production level that a facility or business can achieve under normal circumstances.

Internal Growth Rate

The maximum growth rate a firm can achieve without external financing while maintaining a stable financial structure.