Which of the Following Statements Accurately Describes Firm Effects

question 16

Multiple Choice

Which of the following statements accurately describes firm effects?

• A) They attribute firm performance to the industry in which the firm competes.
• B) They attribute firm performance to the actions managers take within a chosen industry.
• C) They refer to the value-creation potential of a large, diversified enterprise.
• D) They refer to the external circumstances surrounding all the firms in an industry.

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Definitions:

Corporate Citizenship

The responsibility of a company to act ethically and with sensitivity towards social, cultural, economic, and environmental issues.

Expatriate

An employee who lives and works in a foreign country on a temporary basis.

Resident Permits

Official documents that allow individuals to reside in a country where they are not citizens for a specific period.

Vice President

A high-ranking executive in an organization or government, typically below the president in rank, who may oversee specific departments or areas of operation.