A Manager in Your Company Is Proposing the Acquisition of Taylor

question 100

Multiple Choice

A manager in your company is proposing the acquisition of Taylor Company, which has developed a new, innovative product, instead of adopting a strategy of developing new products in-house.All of the following arguments are correct EXCEPT:

• A) the acquisition of Taylor should be primarily for defensive rather than strategic reasons.
• B) research suggests that acquisition strategies are a common means of avoiding risky internal ventures.
• C) the outcomes of acquisitions can be estimated more easily and accurately than the outcomes for an internal product development process.
• D) acquisitions could become a substitute for innovation within your firm.

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Definitions:

High-Performance Work Setting

An organizational environment designed to maximize employee performance and productivity through high engagement and empowerment.

Managerial Questions

Questions that are targeted towards understanding, guiding, and making decisions in the context of managing an organization or its resources.

Higher-Order Needs

Refers to the advanced levels of needs in Maslow's hierarchy, including esteem and self-actualization needs, beyond basic physiological and safety requirements.

Esteem

A psychological term describing a positive or negative attitude toward oneself; an aspect of self-respect or self-worth.