FindFor Inc

question 110

Multiple Choice

FindFor Inc.is an e-commerce retail firm that sells a variety of merchandise online.Through services like cash on delivery,easy return,and online tracking,the company has created more customer value than its competitors (brick-and-mortar businesses) at the same price.Also,the company's costs are substantially low due to minimal investment in operation and administration.In this scenario,FindFor Inc.has most likely been able to provide superior value and cost control through

• A) strategic parity.
• B) strategic profiling.
• C) strategic liquidation.
• D) strategic positioning.

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Definitions:

After-Tax Cost of Debt

The net cost of debt to a company after accounting for the tax benefits of interest expenses.

CGT

Capital Gains Tax (CGT) is a tax on the profit earned from the sale of non-inventory assets that were purchased at a cost amount that was lower than the amount realized on the sale.

Flotation Cost

The total costs a company faces in issuing new securities, including underwriting, legal, and registration fees.

Cost of New Stock

The costs associated with issuing new shares of stock, including the underwriting and administrative costs.