To Maintain Its Core Competency of Providing a Superior Customer

question 67

Multiple Choice

To maintain its core competency of providing a superior customer experience in the face of explosive growth, Zappos split the organization into 10 standalone units.Which of the following does this scenario best illustrate?

• A) How an organization accommodates strategy implementation through a flexible organizational structure
• B) How strategy implementation has an effect on resource allocation and power distribution
• C) How an organization demonstrates organizational inertia, and therefore sets the stage for the firm's subsequent failure
• D) How an organization optimizes its organizational structure to the current situation

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Definitions:

Price Constraint

A limitation on the price-setting process, often due to factors such as market competition, production costs, or regulatory guidelines.

Break-even Point

The production level at which total revenues equal total expenses, indicating no profit or loss, crucial for understanding the financial feasibility of a product or business.

Supply Curve

A graphical representation showing the relationship between the price of a good and the amount of it that suppliers are willing to sell.

Oligopoly

A market structure characterized by a small number of firms controlling a large majority of the market share, influencing prices and competition.