Business Strategies Built Around Functional Capabilities and Activities That Allow

question 46

Multiple Choice

Business strategies built around functional capabilities and activities that allow the company to meet customer needs more rapidly than its main competitors are referred to as __________ strategies.

• A) Speed-based
• B) Cost
• C) Differentiation
• D) Integration

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Definitions:

Operating Income

Profit realized from a business's core operations, excluding deductions of interest and taxes.

Income Tax Rate

The percentage of income that is paid to the government as tax.

Gain on Sale

The profit realized from the sale of an asset when it is sold for more than its carrying amount on the company's books.

Operating Income

The profit realized from a business's core operations, calculated by subtracting operating expenses from gross income.