When BellSouth Made Plans to Increase Its Presence in the Lucrative

question 9

Multiple Choice

When BellSouth made plans to increase its presence in the lucrative Latin American market,some of its employees decided BellSouth needed to acquire the rest of Telefonia Cellular de Nicaragua,one of its subsidiaries in Latin America.To do so,they paid a substantial sum to the wife of a Nicaraguan legislator who was responsible for legal changes that were needed to allow Telefonia to become completely owned by BellSouth.This payment was in direct violation of U.S.law,and BellSouth had to pay a hefty fine and divest itself of its illegal acquisition.In which phase of the strategic marketing process did the BellSouth strategy fail?

• A)the goal-setting phase
• B)the implementation phase
• C)the control phase
• D)the strategic development phase

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Definitions:

Segment Margin

The profit generated by a particular segment of a business, after deducting direct and allocated expenses specific to the segment.

Segmented Income Statement

A financial statement that breaks down revenues, costs, and profits for different parts of an organization, such as departments or product lines.

Contribution Format

An income statement format that separates variable costs from fixed costs, highlighting the contribution margin of sales over variable costs.

Consumer Segment

A specific group of customers targeted based on similar needs, preferences, or demographic profiles.