Which of the Following Is True About Using the Strategy

question 117

Multiple Choice

Which of the following is true about using the strategy of integration for merging different corporate cultures?

• A)It works best when people realize that their existing cultures are good enough, which motivates them to stick to their dominant values.
• B)It is the fastest strategy for merging different corporate cultures.
• C)It is potentially safe because neither party is preserving the existing culture.
• D)It should be considered when the merging companies have strong cultures and distinct cultures.
• E)It creates a new composite culture that preserves the best features of the previous cultures.

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Definitions:

Operating Expenses

Costs associated with the day-to-day operations of a business, excluding costs related to production or sourcing goods.

Variable Cost Per Unit

Variable cost per unit is the cost that varies with the level of output, calculated by dividing the total variable costs by the number of units produced.

Activity Level

The degree of operational intensity or volume of production in a business, often influencing costs and revenues.

Contribution Margin

The amount by which sales revenue exceeds variable costs, indicating how much revenue contributes toward covering fixed costs and generating profit.