When Companies Form a Technology Cluster It Often Results In

question 46

Multiple Choice

When companies form a technology cluster it often results in:

• A) the loss of agglomeration economies.
• B) new firms being discouraged to start up in the immediate vicinity.
• C) reduced interaction and trust between them.
• D) reduced pricing power in their relationships with buyers and suppliers.

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Definitions:

Operating Activity

Activities directly related to the primary operations of a company, generating the main source of revenue and expenses.

Liability Section

A portion of the balance sheet that lists a company's obligations and debts, including both current and long-term liabilities.

Accounts Receivable

Accounts receivable are amounts owed to a business by customers for goods or services delivered but not yet paid for.

Asset Section

The asset section of a balance sheet details a company's owned resources with economic value anticipated to provide a future benefit.