Credible commitments
A) are believable promises or pledges to support the development of a long-term relationship between companies.
B) facilitate diversification based on acquisitions and restructuring.
C) facilitate competitive bidding.
D) facilitate vertical integration.
E) reduce the risk of losing proprietary technology to a venture partner and facilitate vertical integration.

Question

Quizplus · Accepted Answer

Credible commitments refer to promises or pledges that are seen as believable, and which can support the development of long-term relationships between companies. This can include commitments to invest in shared projects or to protect the interests of the other party. The other options all refer to different strategies or processes that may be facilitated by credible commitments, but they do not describe the concept itself.

Credible Commitments