A Spinoff Is an Action in Which

question 84

Multiple Choice

A spinoff is an action in which:

• A) the management bids for and acquires the firm.
• B) one firm issues stock to acquire another firm.
• C) successful product lines are sold to competitors.
• D) a portion of the firm's assets is sold off to form a new company.

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Definitions:

Small Businesses

Enterprises or firms characterized by fewer employees, lower annual revenue, and smaller scale of operations than larger corporations.

Inability to Innovate

The lack of capability or creativity in developing new products, services, or processes, which can hinder a business's growth and competitiveness.