Manufacturers of Consumer Products Use Transactional Websites Less Frequently Than

question 247

Multiple Choice

Manufacturers of consumer products use transactional websites less frequently than other firms because

• A)in some industries, this form of vertical integration is illegal.
• B)there is a threat of channel conflict.
• C)it is difficult to maintain inventory levels at online warehouses.
• D)some stakeholders are opposed to websites that drain resources without providing any return on investment.
• E)such websites require dynamic pricing, which is difficult to use if supply and demand conditions change frequently.

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Definitions:

Year Ended

Refers to the end of an accounting period or fiscal year, marking the time for preparing financial statements and closing books.

Cash Flows

The total amount of money being transferred into and out of a business, particularly in terms of liquidity, financing, and investing activities.

Financial Statement

Documents that provide an overview of a company's financial condition, including the balance sheet, income statement, and cash flow statement, used by internal and external stakeholders.

Present Value

The present value of a future amount of money or series of cash flows, assuming a certain rate of return.