Value-Based Enterprises

question 16

Multiple Choice

Value-based enterprises:

• A) avoid entanglement with stakeholders
• B) actively seek out stakeholders and work cooperatively with them
• C) publish a mission statement of their core values
• D) do not engage in public affairs

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Definitions:

Profit Margins

The percentage of revenue that remains as profit after all expenses have been deducted from total sales.

Performance Risk

The potential for a purchased product or service to fail to meet expected performance levels, causing the buyer dissatisfaction.

Gas Mileage

A measurement of how many miles a vehicle can travel on a gallon of fuel, indicating its fuel efficiency.

Hybrid Car

A vehicle that uses a combination of an internal combustion engine and one or more electric motors for propulsion, aiming to reduce fuel consumption and emissions.