When a Company Approaches Market Share Growth Under a Build

question 20

Multiple Choice

When a company approaches market share growth under a build strategy,

• A)The company aims to increase its market share in the industry,even at the expense of short-term earnings and cash flow.
• B)The company seeks to maintain its current market share but build its return on investment.
• C)The company seeks market share growth by purchasing companies exiting the market.
• D)The company focuses on short-term profits and cash.

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Definitions:

Available Cash

The funds that a company or individual has on hand that are readily accessible for use or investment.

External Causes

Factors outside of an individual's or organization's control that can impact outcomes or performance.

Company Management

The process of directing and controlling a business or organization through the making and implementation of decisions.

Fast-growth Firms

Companies that experience rapid expansion in terms of revenue, profitability, or market share over a short period.