Which of the Following Statements Is True of Reactive Firms

question 75

Multiple Choice

Which of the following statements is true of reactive firms?

• A) Reactive firms consider a variety of markets for selling their products and services.
• B) They consider exporting only after their domestic market is saturated.
• C) They systematically scan foreign markets for profitable export opportunities.
• D) They create excess productive capacity and actively hunt for opportunities in foreign markets.

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Definitions:

Float Balance

The amount of money within a financial system that is briefly counted twice due to time gaps in registering a deposit or withdrawal, often seen in the banking system.

Ledger Balance

The balance of a bank account at the start of each day, including all deposits and withdrawals that have been posted to the account.

Miller-Orr Model

A model used to manage cash balances by setting upper and lower limits on cash reserves, triggering transfers to optimize interest and liquidity.

Upper Limit

The maximum level or boundary allowed or possible, often used in the context of production, spending, or other types of limits.