Asked by Bryce Bloomquist on May 06, 2024

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Commercial failure (as opposed to economic failure)is an issue between a business and its owners rather than its creditors.

Commercial Failure

Commercial failure refers to a product or business venture that does not achieve its financial objectives, often resulting in significant losses or bankruptcy.

Economic Failure

The inability of a market or economy to allocate resources efficiently, often leading to wastefulness or loss.

Creditors

Individuals or institutions that extend credit by lending money or providing goods or services that will be paid for later.

  • Understand the components that influence whether mergers succeed or fail.
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Ghaidaa OsamaMay 08, 2024
Final Answer :
False
Explanation :
Commercial failure refers to a business's inability to remain competitive or financially viable in the market, affecting not just the owners but also creditors, employees, and other stakeholders. Economic failure, on the other hand, is a broader term that can encompass various aspects of an economy or business operations failing to meet expected outcomes.