The Process by Which a Firm's Managers Evaluate the Future

question 76

Multiple Choice

The process by which a firm's managers evaluate the future prospects of the firm and decide on appropriate strategies to achieve long-term objectives is called ________.

• A)strategic planning
• B)strategic delegation
• C)organizational design
• D)product planning

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Definitions:

Bureaucratic Inefficiency

The delay and ineffectiveness often experienced within organizations, especially large ones, due to complex procedures and red tape.

Positive Externalities

Benefits that are enjoyed by a third-party or the society at large as a result of an economic activity.

Logrolling

The practice of exchanging favors, especially in politics by reciprocal voting for each other's proposed legislation.

Paradox Of Voting

A situation where individual rationality in voting may lead to outcomes that are not collectively optimal, such as the failure to elect the most preferred candidate due to vote splitting.