Which of the Following Is an Example of the Way

question 118

Multiple Choice

Which of the following is an example of the way that information technology can reduce supplier power for an organization?

• A) Switching costs
• B) Reverse auction
• C) Entry barrier
• D) Loyalty program

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Definitions:

Preferred Stock

A class of ownership in a corporation with a higher claim on assets and earnings than common stock, often receiving dividends before common shareholders.

Annual Dividend

The total sum of the dividends paid to shareholders over a year, often cited per share.

Rates of Return

Financial results such as gains or losses on an investment over a predetermined time frame, expressed as a percentage of the original investment fee.

Net Cash Flows

The amount of cash that is generated or lost by a business in a given time period, calculated as cash inflows minus cash outflows.