Unfair Competitive Advantages Occur When

question 8

Multiple Choice

Unfair competitive advantages occur when:

• A) one competitor has an advantage that others cannot purchase.
• B) market middlemen are displaced.
• C) information is equally distributed and transaction costs are low.
• D) firms are able to gather monopoly profits.

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Definitions:

Vendor Invoices

Documents issued by a supplier to the purchaser detailing the sale transaction and requesting payment.

Working Capital Financing Policy

A strategy used by businesses to determine how to fund their operational needs and manage short-term assets and liabilities.

Short-Term Funding

Financial resources borrowed for a short period, typically less than a year, to cover immediate financial needs.

Leaning on the Trade

A strategy used by traders to manipulate prices by taking positions that influence other traders to move a market in a desired direction.