Refer to the Scenario Below to Answer the Following Questions

question 129

Multiple Choice

Refer to the scenario below to answer the following questions.
Innovation Variables at Lightspeed (Scenario)
Edwin Lee leads a cross-functional product development team at Lightspeed.com, a software company with employees in 10 countries around the world) The members of Edwin's team are hard-working and highly creative, but he wonders if there are ways to stimulate more innovation from the team. As the company has grown, so too has the bureaucracy. Numerous rules and policies have been introduced, and decision making has become highly centralized. This has resulted in resource limitations and tight project deadlines. Fortunately, with the use of web cams and other Internet technology, Edwin is able to hold frequent meetings with his global cross-functional team. And despite some structural limitations, the company's culture does seem to foster creative solutions. Diverse opinions are encouraged, and even the most unrealistic, ''off-the-wall'' solutions are accepted without criticism. Mistakes are treated as learning opportunities-a good thing, since there have definitely been some mistakes!
-Which cultural variable relates to the acceptance of diverse opinions at Lightspeed?

• A) acceptance of ambiguity
• B) tolerance of the impractical
• C) tolerance of risk
• D) tolerance of conflict
• E) open system focus

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Definitions:

Accruals

Accounting method where revenue and expenses are recorded when earned or incurred, regardless of when the cash transaction occurs.

Quick Ratio

A financial metric that measures a company's ability to cover its short-term liabilities with its most liquid assets, excluding inventory.

Accounts Receivable

Accounts receivable are amounts owed to a business by its customers for goods or services delivered but not yet paid for.

Inventories

Items such as goods or merchandise held by a company, intended for sale or production.