One of the Distinguishing Differences Between the Two Sources of Internal

question 37

Multiple Choice

One of the distinguishing differences between the two sources of internal corporate venturing (autonomous strategic behavior and induced strategic behavior) is whether the innovation process:

• A) is encouraged as a bottom-up or top-down process.
• B) is encouraged by a product champion or an entrepreneur internal to the organization.
• C) relies on internal structure or existing strategy to encourage innovation.
• D) is in a large or small organization.

---

Definitions:

Product Costs

The total costs directly involved in manufacturing a product, including material, labor, and overhead expenses.

Period Costs

Expenses that are not directly tied to the production process and are typically accounted for as expenses in the period they are incurred.

Contribution Margin

The amount by which sales revenue exceeds variable costs, contributing to the coverage of fixed costs and profit generation.

Direct Manufacturing Cost

The total cost directly involved in the manufacturing of a product, including direct materials and direct labor but excluding overhead.