Aster Inc is an American firm that manufactures motorcycles under the brand name AsterBikes. The firm conducts a market research to identify alternative sources of sales growth by leveraging its core competencies and competitive advantages
Based on its market research and analysis, the firm decides to enter the automobile industry, and introduces a line of Aster ComfortCars. In this example, Aster Inc is using which of the following offensive strategies?
A) enter unrelated new markets
B) develop new markets
C) harvest for cash flow
D) divest for cash flow
E) enter related new markets
E
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Which of the following is an incorrect statement regarding factors influencing a business manager's choice of organizational form?
A) Provided that the business manager chooses correctly, there is an ideal form of business venture. B) Each organizational form has its advantages. C) Each organizational form has its disadvantages. D) The entrepreneur, with the counsel of an attorney and an accountant or a tax expert, should carefully weigh the advantages and disadvantages of different organizational forms for the type of business the entrepreneur wishes to engage in.
Building a strong credit file (by making timely payments) when you in college and beginning your career is
A) unwise as you will have to pay interest on the deferred amounts. B) wise so that when you are ready to make major purchases like a car and a home, you can obtain favorable interest rates. C) unwise; only buy what you can afford to pay cash for. D) Both A and C are correct.