What is the relationship between economic contribution and competitive advantage?
What will be an ideal response?
Strategy is about creating superior value, while containing the cost to create it. Managers achieve this combination of value and cost through strategic positioning. That is, they stake out a unique position within an industry that allows the firm to provide value to customers, while controlling costs. The greater the difference between value creation and cost, the greater the firm's economic contribution and the more likely it will gain competitive advantage.
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Payment to a creditor is an example of a nonexchange business transaction
Indicate whether the statement is true or false
Which one of the following is NOT a perception bias?
a. expectations b. stereotyping c. selectivity d. attitudes
When a company follows a customer-centric philosophy with a high degree of customer orientation, it is likely to ________.
A. keep everyone up-to-date on the progress of relevant legislation B. align system capability externally so that the organization can respond with competitively similar goods and services C. produce products solely for the loyal customers from higher socio-economic status D. generate an understanding of the marketplace and disseminate that knowledge to everyone in the firm E. place customers at the top of the organizational chart
[The following information applies to the questions displayed below.]Madison Company issued an interest-bearing note payable with a face value of $24,000 and a stated interest rate of 8% to Metropolitan Bank on August 1, Year 1. The note carried a one-year term.Based on this information alone, what is the amount of total liabilities appearing on Madison's balance sheet as of December 31, Year 1?
A. $24,800 B. $24,720 C. $24,000 D. $25,920