One of the Key Factors That Makes It Difficult for New

question 13

Multiple Choice

One of the key factors that makes it difficult for new ventures to be successful as differentiator is

• A) strategic renewal.
• B) internal development is challenging.
• C) mergers and acquisitions are a threat.
• D) enacting HYPERLINK "" the strategy is expensive.

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Definitions:

Pre-emptive Rights

The rights granted to shareholders to purchase additional shares in a company before the shares are offered to the public, to maintain their proportionate ownership.

Due Diligence

The thorough investigation or exercise of care that a reasonable business or person is expected to take before entering into an agreement or contract with another party.

Legal Entity

An organization or entity that is legally recognized as having rights and responsibilities separate from its members or owners, such as corporations, trusts, and partnerships.

Directors Responsibility

The legal obligations that board directors have to manage a company's affairs diligently, in good faith, and in the best interests of the company and its shareholders.