People Need to Understand How Their Individual Actions Can Contribute

question 107

Multiple Choice

People need to understand how their individual actions can contribute to achieving an organizational strategy. This can be accomplished by delegating authority, creating teams, and defining roles. These actions are part of which tool for putting strategy into action?

• A) Visible leadership
• B) Candid communication
• C) Human resources
• D) Clear roles and accountability
• E) Bargaining power of employees

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Definitions:

Profit-Maximizing

A strategy or point at which a firm reaches the maximum possible profit with its current resources and constraints.

Fixed Cost

Expenses that do not change with the level of output or sales, such as rent or salaries.

Variable Cost

Expenses that change in proportion to the level of production or sales activities of a company, such as raw materials and direct labor costs.

Producer Surplus

The difference between what producers are willing to accept for a good versus what they actually receive, typically represented by an area on a graph.