Consider the Following Scenario

question 148

Multiple Choice

Consider the following scenario. Inflation in Argentina pushes the price of Argentine wine up 25%. Inflation in the United States pushes the price of California wine up 10%. If the exchange rate remains constant, the U.S. demand for wine from Argentina

• A) decreases.
• B) increases.
• C) remains constant.
• D) California wine is better than Argentine wine, so there never is a U.S. demand for wine from Argentina.

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Definitions:

Unplanned Change

Modifications or adjustments that occur without forethought or intention, often in response to immediate circumstances or emergencies.

Bottom-Up Change

Change initiatives come from all levels in the organisation.

Top-Level Managers

Senior executives responsible for the overall direction and success of an organization.

Empowerment

Empowerment distributes decision‐making power through an organisation.