Guo-Ping Would Like to Take Action to Stop a Recent

question 39

Multiple Choice

Guo-Ping would like to take action to stop a recent decline in profits and stock price at his firm. What strategy would you recommend to Guo-Ping?

• A) Lay off employees to increase profits the most.
• B) Make no changes. Employees and investors will react positively when they see you are not panicking.
• C) Reduce facilities and other tangible assets to cut expenses.
• D) Acquire a competitor to increase size and market power.
• E) Lay off employees so that the survivor syndrome will cause the other workers to increase productivity.

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Definitions:

Secular Religion

A philosophy or belief system that fulfills the role of traditional religion in providing values and meaning, but without dependence on supernatural elements or doctrines.

Outlaw Motorcycle Club

A motorcycle subculture that has members in different clubs or gangs, which are often not sanctioned by the American Motorcycle Association and follow their own set of rules.

Social Bonding

The process of developing attachments and connections with others, which is fundamental to human social and emotional development.

Formal Religion

Organized religious practices and institutions that have structured doctrines, rituals, and clergy, as opposed to more personal or informal spiritual beliefs.