In the Context of Using Information Technologies for a Competitive

question 101

Multiple Choice

In the context of using information technologies for a competitive advantage, which of the following statements is true of a bottom-line strategy?

• A) It focuses on improving efficiency by reducing overall costs.
• B) It focuses on generating new revenue by offering new products and services.
• C) It focuses on enhancing rivalry among existing competitors.
• D) It focuses on helping different market segments achieve a cost advantage.

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Definitions:

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations with its current assets.

Financial Data

Information about financial transactions, including income, expenses, assets, and liabilities, used for analysis and decision-making.

Market Price

The existing rate for purchasing or selling an asset or service in the market.

Earnings Per Share

A measure of a company's profitability, calculated by dividing the company's profit by the number of outstanding shares of its common stock.