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if a firm declared that it wanted to develop a strategic relationship, but was unwilling to commit funds or any effort to make it succeed, there would be an obvious lack of

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Answer:

Credible commitments

Explanation:

If a firm declared that it wanted to create a strategic relationship, but was unwilling to commit funds or any action to complete it successfully, there would be an obvious scarcity of credible commitments.

What are credible commitments?

  • A credible commitment exists in a deal or agreement that is an important attribute of effective state-business relations.
  • A strategic connection cannot succeed unless each relationship partner is willing to create a genuine, credible commitment to the association.
  • The behavior expressed in the question does not demonstrate such a commitment.
  • Hence, If a firm expressed that it desired to develop a strategic relationship, but was unwilling to commit funds or any action to create it to succeed, there would be a conspicuous lack of credible commitments.

To learn more about credible commitment, refer to:

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