Summarize the most important benefits and risks associated with diversification into global markets.
What will be an ideal response?
Benefits: increase size of potential markets; attain economies of scale; reduce costs of research and development; reduce operating costs; arbitrage opportunities; extend the life cycle of a product; optimize the physical location for every activity in the value chain. Risks: political; economic; currency; and management risks.
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The most common approach to implementing the lower of cost or market rule for inventory valuation is to apply it to
A) each individual item of inventory separately. B) each major category of inventory. C) the total inventory in the aggregate. D) inventory items that have increased in value but not to items that have decreased in value.
As stated in the equity theory, people whose situation is comparable to their own are a/an ______.
A. authority B. inequality figure C. referent other D. designator
To assure an efficient system of internal control, management should authorize all transactions
Indicate whether the statement is true or false
Which of the following is NOT a trend in the contemporary business world?
a. Changing concept of careers b. An emphasis on teamwork c. Influence of information technology d. A respect for new workforce expectations e. An increase in "command-and-control" leadership