In Strategy Highlight 2

question 90

Multiple Choice

In Strategy Highlight 2.3,what type of strategy is the store manager of Starbucks using to develop new drinks for the stores?

• A) She is using a rational planning approach to strategy.
• B) She is creating a dominant strategy plan.
• C) She is using scenario planning.
• D) She is using an emergent strategy process.

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Definitions:

Pigouvian Tax

A tax imposed on any market activity that generates negative externalities (costs not borne by the party causing them) to correct the market outcome.

Tradable Licenses

Permits that can be bought and sold, allowing the holder to engage in a particular activity or emit a certain amount of pollutants.

Common Resources

Goods that are accessible to all members of a society but have a limited supply, leading to potential overuse.

Socially Optimal

A state or outcome in which resources are allocated in the most efficient manner from a societal perspective, maximizing social welfare.