Which of the Following Statements Is Not True Regarding the Day-To-Day

question 25

Multiple Choice

Which of the following statements is not true regarding the day-to-day challenges of growing a firm?

• A) As a firm grows, it requires a decreasing amount of cash to service its customers.
• B) If firm growth comes at the expense of a competitor's market share, price competition can set in.
• C) Most businesses, regardless of their industry, need capital from time to time to invest in growth-enabling projects.
• D) Although most businesses are started fairly inexpensively, the need for capital is typically the most prevalent in the early growth and continuous stages of the organizational life cycle.
• E) One of the most difficult challenges that businesses encounter as they grow is maintaining high levels of quality and customer service.

---

Definitions:

Emotional Arousal

The process of becoming mentally and physically activated with emotions, which can be triggered by thoughts, memories, or external events.

Gamma-aminobutyric Acid

A neurotransmitter in the brain that plays a key role in reducing neuronal excitability throughout the nervous system.

Endocrine System

A network of glands in the body that secrete hormones directly into the circulatory system to regulate the body's growth, metabolism, and homeostasis.

Hormones

Chemical messengers produced by glands in the endocrine system, which regulate various functions in the body, including growth, metabolism, and mood.