A Company's Realized Strategy Evolves from One Version to the Next

question 83

Multiple Choice

A company's realized strategy evolves from one version to the next due to

• A)changing management direction because of understanding several appealing strategy alternatives.
• B)the proactive efforts of company managers to improve the current strategy, a need to respond to changing customer requirements and expectations, and a need to react to fresh strategic maneuvers on the part of rival firms.
• C)ongoing turnover in the managerial and executive ranks (new managers often decide to shift to a different strategy).
• D)pressures from shareholders to boost profit margins and pay higher dividends.
• E)the importance of keeping the company's business model fresh and up-to-date.

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Definitions:

Stakeholders

Individuals or groups that have an interest in an organization's activities, decisions, and success, including employees, customers, suppliers, and shareholders.

Organizational Cynicism

A negative attitude towards one's employer or organization characterized by distrust, disillusionment, and skepticism regarding its actions or intentions.

Executive Compensation

The pay package provided to top-level management, including salary, bonuses, stock options, and other financial benefits, often reflective of the executive's role and performance.

Legitimate Authority

A form of power recognized as rightful or justified within a given social structure or organization.