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Social or environmental spillover effects beyond direct financial returns of a venture can be best termed as_________.
Externalities are costs or benefits arising from economic activity (production or consumption) that affect third parties who did not choose to be involved. Hence, social or environmental spillover effects can be termed as externalities.
Ex ante analysis involves forecasting future synergies—such as cost savings from shared resources or revenue growth from cross-selling—before a merger or project begins.
Startups face intense margin pressures due to rising production costs and fierce competition, forcing them to focus on optimising gross and operating margins.
To combat this, they leverage synergies through strategic partnerships, collaborative ecosystems, and resource sharing.
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