The One Factor That Company Executives Need Not Worry About

question 55

Multiple Choice

The one factor that company executives need not worry about when their company is managing many diverse,unrelated firms is

• A) staying abreast of what's happening in each industry and subsidiary.
• B) picking business-unit heads who have the requisite combination of managerial skills and know-how to motivate people.
• C) understanding the true value of strategic investment proposals by business-unit managers.
• D) knowing what to do if a business unit stumbles.
• E) "managing by the numbers"-that is,keeping a close track on the financial and operating results of each subsidiary.

Understand the effects of competition on pricing decisions and market dynamics.

Assess how pricing decisions can create value for customers and the firm.

Know the difference between various pricing orientations and strategies.

Grasp the relationship between pricing strategies and profit objectives.

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Definitions:

U.S. Constitution

The supreme law of the United States, establishing the framework of the national government and the fundamental rights and freedoms of its citizens, ratified in 1787.

Original Thirteen

Refers to the first thirteen colonies that declared independence from British rule in 1776, eventually forming the United States of America.

Local Self-Government

The management and governance of local affairs by local authorities or the community, allowing for decision-making at the closest level to the citizens.

Sectional Interests

The promotion of economic and political concerns that are specific to a particular region or section of a country, often leading to conflict or competition with other regions.