Which of the Following Statements Is True Concerning Clusters

question 65

Multiple Choice

Which of the following statements is true concerning clusters?

• A) The desire to build or upgrade a core competency is one reason why entrepreneurial and other fast-growing firms often tend to locate close to their competitors.
• B) Clusters are geographically dispersed companies operating within the same industry.
• C) The United States does not have any clusters; they are all located in Europe.
• D) According to Porter, clusters provide barriers to the access of employees, suppliers, and specialized information.
• E) Employees from competitive firms in a cluster are not permitted to socialize with one another.

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Definitions:

Shield Volcano

A broad, domed volcano with gently sloping sides, primarily formed by the eruption of low-viscosity lava.

Caldera

A large volcanic crater formed by a major eruption leading to the collapse of the mouth of the volcano.

Steam Eruption

A volcanic event wherein water is heated by magma and vaporizes explosively, releasing steam and volcanic gases into the atmosphere.

Magma

Molten rock beneath the Earth's surface which can form igneous rocks upon cooling.