Firms That Are Acquired to Take Advantage of Bootstrapping Often

question 72

Multiple Choice

Firms that are acquired to take advantage of bootstrapping often have:

• A) a lower price-earnings ratio than the acquirer.
• B) a higher price-earnings ratio than the acquirer.
• C) more outstanding shares than the acquirer.
• D) a higher market valuation than the acquirer.

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Definitions:

Intrapreneurship

Intrapreneurship is entrepreneurial behaviour displayed by people or subunits within large organisations.

Entrepreneurial Behaviour

refers to the attitudes, actions, and strategies that entrepreneurs apply to initiate and manage a venture, including risk-taking and innovation.

Large Organisations

Entities that operate on a vast scale, often comprising multiple departments, teams, and processes to deliver products or services across various locations or markets.

International Business

Commercial transactions that occur across national borders, involving the exchange of goods, services, technology, and capital.