Which of the Following Is an Accurate Statement About the Relationship

Multiple Choice

Which of the following is an accurate statement about the relationship between firm effects and industry effects?

A) Firm effects deal with the action of competitors; industry effects deal with internal circumstances.
B) Firm effects deal with a manager's actions; industry effects deal with external circumstances.
C) Firm effects deal with a manager's actions; industry effects deal with internal circumstances.
D) Firm effects deal with the action of competitors; industry effects deal with external circumstances.