Which of the Following Statements About the Industry Life Cycle

question 20

Multiple Choice

Which of the following statements about the industry life cycle is incorrect?

• A) Companies may stay in one phase for a significant period of time.
• B) All industries can be classified accurately into a specific phase.
• C) The general framework may not apply to some industries.
• D) The approach does not explicitly lead to a stock price determination.

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Definitions:

Action Spectrum

A graph of the effectiveness of light at specific wavelengths in promoting a light-requiring reaction. Compare with absorption spectrum.

Absorption Spectrum

A graph of the amount of light at specific wavelengths that is absorbed as light passes through a substance. Each type of molecule has a characteristic absorption spectrum. Compare with action spectrum.

Carotenoids

A class of pigments found naturally in plants, algae, and photosynthetic bacteria, important for photosynthesis and providing coloration.

Chlorophylls

A class of green pigments responsible for the absorption of light energy during photosynthesis in plants, algae, and cyanobacteria.