A Change in Strategy Nearly Always Entails Budget Reallocations Because

question 75

Multiple Choice

A change in strategy nearly always entails budget reallocations because

• A)revamping the performance of value chain activities can be costly.
• B)the accompanying policy revisions and compensation incentives tend to require different levels of funding than before.
• C)organizational units important in the prior strategy but having a lesser role in the new strategy may need downsizing,while units and activities that now have a bigger and more critical strategic role may need more people,new equipment,additional facilities,and above-average increases in their operating budgets.
• D)empowering employees to carry out the new strategy elements typically requires substantial new funding and budget revisions.
• E)adopting best practices and pushing for continuous improvement tend to reduce costs and overall resource requirements.

---

Definitions:

Los Angeles

A sprawling Southern California city and the center of the nation’s film and television industry, known for its iconic Hollywood sign.

Miami

A vibrant, culturally diverse city located in southeastern Florida, known for its tropical climate, sprawling beaches, and significant Latin American influence.

Suburbanites

Residents of a suburb, a residential area located on the outskirts of a city or large town, often characterized by a more domestic and community-oriented lifestyle compared to urban living.