Question

Absorptive capacity means ______.

Options

• The ability of the environment to absorb up-gradation.

• The ability of the environment to absorb degradation.

• None of these

• The ability of the environment to release degradation.

Answer 1

Absorptive capacity means the ability of the environment to absorb degradation.

Explanation:

"A firm's ability to perceive the value of new knowledge, digest it, and apply it to commercial purposes" is how absorptive capacity is characterised. Individual, group, company, and national levels are all investigated.