Which of the Following Statements Is True Concerning Clusters

question 42

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 geographic concentrations of interconnected companies and industries.
• C) An example of a cluster in the United States is California's Silicon Valley.
• D) According to Porter, clusters provide access to employees, suppliers, specialized information, and complementary products.
• E) all of the above

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Definitions:

Common Stock Option Warrants

Rights issued to investors to purchase common stock at a specified price within a predefined time frame, potentially diluting existing shareholders.

Treasury Stock

Shares that were issued and later reacquired by the corporation, reducing the amount of outstanding stock on the open market.

Voting Rights

The entitlement of shareholders to vote on company matters, typically exercised at annual meetings or special resolutions, often proportional to the number of shares held.

Stock Splits

A corporate action where a company divides its existing stock into multiple shares to boost the liquidity of the shares.