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Industries in Which Proportionally More Value Is Added in Upstream

question 80

True/False

Industries in which proportionally more value is added in upstream activities are more likely to benefit from a global strategy than those in which more value is added downstream (closer to the customer).

Identify factors that cause a difference between a stock’s market value and its intrinsic value.
Grasp the role of the marginal investor in determining stock prices.
Understand the basic principles of the dividend discount model in stock valuation.
Recognize the premise of market equilibrium and its implications for investment.

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