Which of the Following Is an Implication for the Strategist

question 50

Multiple Choice

Which of the following is an implication for the strategist in the context of corporate governance and a company's success?

• A) Very few corporate-governance mechanisms can be effective in addressing the principal-agent problem.
• B) Effective corporate governance and solid business ethics are critical to gaining and sustaining competitive advantage.
• C) Leading by ethical example often has a lesser effect on employee behavior than words do.
• D) A firm that restricts its responsiveness to stockholders (and no other stakeholders) and keeps them committed to its vision will be successful.

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Definitions:

Sensorimotor Stage

The first of the four stages of cognitive development in Piaget's theory, spanning from birth to about 2 years of age, where infants learn through interacting with the world using their senses and motor skills.

Erikson's Eight Ages

A theory of psychological development proposed by Erik Erikson, comprising eight sequential stages across the lifespan, each characterized by a central conflict.

Identity Diffusion

A state in psychosocial development where an individual lacks a clear and coherent sense of personal identity or commitment to life roles.

Industry vs. Inferiority

Industry vs. inferiority is a psychological conflict of early childhood, as identified by Erik Erikson, in which children need to develop a sense of skill and competence.