Question

what is the effect on the market when suppliers under invest in their business​

Answer 1

Answer:

If a stock is doing well, a company might be more inclined to issue more shares because they believe they can raise more capital at the higher value. Stock market performance also affects a company's cost of capital.In any case, when shares fall, the value decreases, which can lead to funding problems

Answer 2

Concept Introduction: All businesses run in Profits and Losses.

Explanation:

We have been Given: what is the effect on the market when suppliers under invest in their business

We have to Find: what is the effect on the market when suppliers under invest in their business?

Suppliers who underinvest in their companies jeopardize supply volumes. They are likely to interfere with the normal business operation therefore destroying the relationship that exists between the customers and the firms. They will increase the lead time resulting to delays of the production process.

Final Answer: Suppliers who underinvest in their companies jeopardize supply volumes. They are likely to interfere with the normal business operation therefore destroying the relationship that exists between the customers and the firms. They will increase the lead time resulting to delays of the production process.

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