CFA Practice Question
True or False? All stakeholder groups are satisfied by high profitability.
Correct Answer: False
For example, suppliers want to sell to a profitable company, because it will pay for what it receives. Customers want to buy from a profitable company that will exist long enough to provide customer service and additional sales. However, neither group wants the firm to profit at their expense.
User Contributed Comments 2
User | Comment |
---|---|
kingirm | The question is not asking "at whose expense"... |
IatLs | I agree. It is sort of confusing! |