Which of the Following Statements About Foursquare Is Not True

question 54

Multiple Choice

Which of the following statements about Foursquare is not True?

• A) Foursquare combines a social network business model with location-based technology.
• B) Foursquare began operating without a revenue model.
• C) Foursquare's business model faces significant intellectual property concerns.
• D) Foursquare has been able to command a high valuation from venture capital investors despite unimpressive revenue and profits.

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Definitions:

Uncontrollable Costs

Uncontrollable costs are expenses that cannot be directly managed or influenced by actions of the business or its managers, often due to external factors.

Investment Center

A division or unit within an organization that is responsible for its own revenue, expenses, and investments, and is evaluated on its profitability.

Profit Center

A profit center is a segment or area of a business that is responsible for generating its own revenues and hence directly contributes to the company's overall profit.

Indirect Expenses

Costs that are not directly attributable to a specific product or service but are necessary for the operation of a business, such as utilities or rent.