In the Context of Corporate Social Responsibility (CSR)and the VRIO

question 26

Multiple Choice

In the context of corporate social responsibility (CSR) and the VRIO (Value,Rarity,Imitability,and Organization) framework,which of the following is true of organization?

• A) Formal management control systems and informal relationships between managers and employees are not relevant in improving the organizational capabilities of a firm.
• B) Complementary assets,by themselves,typically help in improving a firm's organizational capabilities.
• C) Complementary assets,when combined with valuable,rare,and hard-to-imitate capabilities,may enable a firm to fully utilize its corporate social responsibility (CSR)potential.
• D) A firm's organizational capabilities enable it to exploit the full potential of corporate social responsibility (CSR)when its resources are simple and common.

---

Definitions:

Pricing

The process of determining the monetary value at which a good or service will be sold in the market.

Predatory Pricing

The practice of first setting prices low with the intention of pushing competitors out of the market or keeping new competitors from entering the market, and then raising prices to normal levels.

Lunch Special

A discounted or specially designed meal offered by restaurants during lunch hours to attract customers.

Markup Pricing

A pricing method in which a certain amount is added to the cost of the product, to set the final price; also called cost-plus pricing.