Based on Planning and Strategic Management Principles, Which of the Following

question 87

Multiple Choice

Based on planning and strategic management principles, which of the following start-up companies has the LEAST potential to have a competitive advantage, to be profitable, and to grow?

• A) a cat-sitting service, where you take care of people's cats when they are on vacation; you decide to advertise your services on Craigslist and the local newspaper
• B) a "companionship" service for elderly people who live alone because their children are busy working full-time jobs; working adults say such a service would be extremely valuable
• C) the only farm within a 100-mile radius that offers its customers organic beef and organic dairy products such as eggs and milk; no other local company offers these products
• D) a portrait-painting service by a talented artist who is known for his ability to make all men look handsome and all women look beautiful; very few other artists in the local area have this talent
• E) an enrichment program for children that hires talented people and sends each of them to a different school each day of the week; a web-based app helps the manager keep track of all the employees' schedules and locations

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Definitions:

James-Lange Theory

A theory of emotion that suggests emotions occur as a result of physiological reactions to events, meaning our physical response directly leads to an emotional experience.

Guilty Knowledge Test

A psychological assessment used in forensic contexts, designed to determine if a person has knowledge only someone involved in a crime would know.

Two-Factor Theory

Proposes that emotions are based on two factors: physiological arousal and cognitive label; the theory suggests that both are needed to experience emotion fully.

Tranquilizer

A drug used to reduce anxiety and tension, often by depressing the central nervous system.