Which of the Following Is True About Institutional Theory

question 29

Multiple Choice

Which of the following is true about institutional theory?

• A) It is a theory that contends that an organization can, at least in part, create an environment for itself that is beneficial to the organization.
• B) It is a theory that contends that organizations are very limited in their ability to adapt to the conditions around them.
• C) It is a theory that examines the extent to which firms copy each other's strategies.
• D) It is a theory that centers on whether it is cheaper for a firm to make or to buy the products that it needs.
• E) It is a theory that contends that the possession of strategic resources can provide an organization with competitive advantages over its rivals.

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Definitions:

Secondarily Liable

A legal obligation that falls onto a party only after the primary liable party fails to fulfill their liability.

Universal Defenses

Legal defenses that can be invoked regardless of the specifics of the contract or transaction in question, often relating to factors like fraud or duress.

Personally Liable

Being personally responsible for fulfilling the obligations of a debt or liability, not limited to the resources of a business or corporation.

Authorized Agent

An individual or organization legally empowered to act on behalf of another person or entity.