If a Manager Cannot Use His Management Team to Deliver

question 2

Multiple Choice

If a manager cannot use his management team to deliver a product profitability to the marketplace, a strong solution might be for the Board of Directors:

• A) to hire a therapist for the manager.
• B) to let the manager have more time to figure things out.
• C) to fire the manager and reorganize the company.
• D) eliminate incentive bonuses for the current management.

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Definitions:

Net Operating Income

The total profit of a company after subtracting operating expenses but before deducting taxes and interest.

Price Reduction

A decrease in the regular selling price of a product or service, usually to stimulate sales or clear inventory.

Value-Based Pricing

is a strategy under which the sale price of a product or service is determined primarily by the perceived value to the customer rather than by the cost of production.

Preventive Maintenance

Regular and systematic inspection, cleaning, and replacement of worn parts, materials, and systems to prevent unforeseen failures and maximize efficiency.