Porter's Model Helps Managers Think Strategically by Enabling Them to See

question 140

True/False

Porter's model helps managers think strategically by enabling them to see the big picture as it affects the organization and its changing environment.

---

Definitions:

Price-fixing

An illegal agreement among competitors to set prices, limit supply, or engage in other activities to maintain high prices and restrict competition.

Vertical Mergers

Mergers between companies at different stages of production within the same industry, aimed at increasing efficiency or control over the supply chain.

Interlocking Directorates

A situation where the members of a board of directors serve on the boards of multiple corporations, potentially leading to conflicts of interest.

Price-fixing

A form of market manipulation where competitors collude to set prices at a certain level, rather than allowing them to be determined naturally by market forces, which is illegal in many jurisdictions.