Some Investors and Stock Analysts Argued That the Increases in the Stock

question 32

Multiple Choice

Some investors and stock analysts argued that the increases in the stock prices of many Internet companies between 1995 and 2000 were justified by fundamentals. This means that:

• A) they recognized the potential of the Internet.
• B) these companies were sure to make profits long into the future.
• C) the purchase of those stocks at high prices were justified.
• D) all of the above

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Definitions:

Culture Shock

The feeling of disorientation or discomfort one experiences when exposed to a foreign culture or environment.

Power Distance

The extent to which less powerful members of organizations and institutions accept and expect that power is distributed unequally.

Competing Values Framework

A model used to assess and understand organizational culture by categorizing it into four quadrants based on two axes: flexibility vs. stability and internal vs. external orientation.

Coercive Power

A strategy by which a person controls the behavior of others through punishments, threats, or sanctions.