Which of the Following Is an Example of a Tactical

question 101

Multiple Choice

Which of the following is an example of a tactical action?

• A) Wal-Mart's launch of Sam's Club stores.
• B) Continental Airlines exit from a hub airport in Denver.
• C) Netflix beginning to offer music DVDs in addition to movies.
• D) Dell's launch of a new line of high performance, custom-made PCs.

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Definitions:

Contribution Margin

The amount remaining from sales revenue after variable costs have been deducted, used to cover fixed costs and to generate profit.

Production Capacity

The maximum output that an organization can produce with the available resources in a given period.

Operating Loss

The amount by which the operating expenses of a business exceed its gross profits.

Fixed Costs

Expenses that do not change in proportion to the activity of a business, such as rent, salaries, or insurance.