The General Lesson from the Ch

question 34

Multiple Choice

The general lesson from the Ch.4 Opening Case on Circuit City is the importance of ______________ to a firm when it is attempting to gain and sustain competitive advantages.

• A) tangible resources
• B) core competencies
• C) the economy
• D) socio-cultural factors

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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, usually with fixed dividends.

Cumulative Preferred Stock

A type of preferred stock whose dividends accumulate if not paid in the agreed periods.

Par Value

The nominal or face value of a stock or bond as stated by the issuer, often used in the accounting of capital accounts.

Dividend

A share of a company's profits paid out to its shareholders, typically in the form of cash or additional stock.