A firm's ________ describes how a firm will produce a return on invested capital.
A)value proposition
B)revenue model
C)market strategy
D)competitive advantage

Question

Quizplus · Accepted Answer

A revenue model outlines how a company will make revenue and thus indicates how it plans to produce a return on invested capital. A value proposition outlines the unique benefits a company offers to customers, a market strategy outlines how a company plans to reach and capture a target audience, and a competitive advantage describes what separates a company from other competitors in the industry. While these elements are all important in helping a company succeed, only the revenue model directly relates to producing a return on invested capital.

A Firm's ________ Describes How a Firm Will Produce a Return