Which of the Following Is Not Descriptive of Interlocking Directorates

question 40

Multiple Choice

Which of the following is not descriptive of interlocking directorates?

• A) Interlocking directorates occur because large firms have a large impact on other corporations.
• B) Interlocking directorates are more common in small, family-owned companies.
• C) Interlocking directorates are a useful method for gaining inside information about an uncertain environment.
• D) Interlocking directorates occur in about 20% of the 1000 largest U.S. firms.
• E) Interlocking directorates provide objective expertise about a firm's strategy.

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Definitions:

Stroop Effect

A phenomenon demonstrating the cognitive interference where the brain struggles to discern the color of a word when the word itself is naming a different color.

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Sleeper Effect

A delayed increase in the impact of a message that occurs when an initially discounted message becomes effective, as the discounting cue is forgotten over time.

Persuasive Message

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