The Terms Continuous Innovation, Dynamically Continuous Innovation, and Discontinuous Innovation

question 176

Multiple Choice

The terms continuous innovation, dynamically continuous innovation, and discontinuous innovation, are classifications based on

• A)generated sales.
• B)production technology.
• C)degree of learning required by the consumer.
• D)channels of distribution.
• E)industry growth.

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Definitions:

Call Option

A financial contract that gives the buyer the right, but not the obligation, to buy a stock or other underlying asset at a predetermined price within a specified time period.

Put Option

A financial contract allowing the holder to sell a specific amount of an underlying asset at a predetermined price within a specified time frame.

Hedge Ratio

A ratio used to calculate the amount of derivatives needed to hedge a position or portfolio, often used to minimize risk exposure.

Delta

A measure in financial markets that compares the change in the price of a derivative to the change in the price of its underlying asset.