Growth for the sake of growth is not always in the best interest of the firm...

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Finance

Growth for the sake of growth is not always in the best interestof the firm and shareholder value. What are some of the things thefirm can do to increase its growth potential, and when might anaction to increase growth be contrary to the interest of increasingthe firm's value?

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Growth potential means an additional production that firm can achieve that means firm can produce more Another way we can say that opportunity cost that firm is bearing now can be achieve in terms of growth See Answer

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Growth for the sake of growth is not always in the best interest of the firm...

50.1K

Verified Solution

Question

Finance

Growth for the sake of growth is not always in the best interestof the firm and shareholder value. What are some of the things thefirm can do to increase its growth potential, and when might anaction to increase growth be contrary to the interest of increasingthe firm's value?

Answer & Explanation Solved by verified expert

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