The Text Uses McDonald's to Exemplify Professor Terry Hill's Generic

question 33

Multiple Choice

The text uses McDonald's to exemplify Professor Terry Hill's Generic Strategy Framework.The operating design choices of resource scheduling, inventory placement and control and standardized operational and job procedures relate best to the corporate objective of

• A)Profitable growth
• B)Operational excellence
• C)Leverage strengths through innovation and technology
• D)Diversity

---

Definitions:

Not a Passive Activity

Activities that involve significant participation and management by the taxpayer, hence not qualifying for tax treatments as passive activities.

Business Loss

A financial state where business expenses exceed its revenue, which can affect tax liabilities.

Deduct

To subtract or take away from the gross amount; in taxation, to lower taxable income by subtracting allowable deductions.

At-risk Amount

The investment in money or other property at risk in an activity, determining the deductible loss limit.