Obtaining Resources from Consumers in Return for the Value They

question 10

Multiple Choice

Obtaining resources from consumers in return for the value they create is a basic tenet of _____, which is a theory explaining why companies succeed or fail.

• A) attribution theory
• B) resource-advantage theory
• C) the marketing concept
• D) the theory of reasoned action
• E) resource-elaboration theory

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Definitions:

ROA

Return on Assets, a financial ratio indicating how profitable a company is relative to its total assets.

Net Income

The total profit of a company after all expenses, taxes, and costs have been subtracted from total revenue.

Total Assets

The sum of all current and non-current assets owned by a company.

Profit Margin

A financial metric indicating the percentage of revenue that exceeds the cost of goods sold, highlighting a company’s profitability.