Managers Perceive Internal Product Development as a High-Risk Activity and Tend

question 92

Multiple Choice

Managers perceive internal product development as a high-risk activity and tend to choose acquisitions because approximately _______ percent of innovations are imitated within 4 years after patents are obtained.

• A) 5
• B) 10
• C) 60
• D) 20

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Definitions:

Profits and Losses

It refers to the financial result of a company's operations, indicating the difference between its revenues and expenses.

Billable Hours

The amount of time spent on specific tasks or projects that can be charged to clients, typically used in professional services firms.

Capital Accounts

Accounts that represent the initial and subsequent investments of owners in a business, adjusted for any profits or losses.

Profit Sharing

A company policy of distributing a portion of net profits to its employees as a form of bonus or additional compensation.