Large firms may be more likely to innovate because ______.

a. the risks of failure are less to them than to small firms.
b. they can attract the capital needed more easily.
c. they can more easily attract the scientists and engineering staff they need.
d. a, b and c

Respuesta :

Answer:

The correct option is D

Explanation:

Large firms such as AstraZeneca and GlaxoSmithkline are more likely to innovate because the risk of failure is minimal such that no matter the amount invested in a failed research project ,it is not material enough to send them out of business.

Also the reason is that they can easily raise the necessary funding unlike a small firm whose liquidity might low and credit rating very poor.

Lastly, they can easily attract the needed brains as they have the ability to pay handsome wages and salaries