Under what situation can the net present value (NPV) profile be upward sloping?
What will be an ideal response?
Answer: The net present value (NPV) profile can be upward sloping if the benefits of the cash flows occur before the costs. In that case the net present value (NPV) profile will be a rising function of discount rates.
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Skunk works are thought by some to be an important way to foster innovativeness within large corporations, yet others argue that they are a sign that the corporation lacks innovativeness
Which of the following statements best summarizes arguments in favor of using skunk works to promote innovation? a. They protect imaginative individuals from corporate bureaucracy that might hamper innovativeness. b. They allow individual creativity to flourish within the normal operating climate. c. They are "orphanages" that separate creativity from the corporate hierarchy. d. They address the underlying, systemic reasons that large corporations lack innovativeness. e. Skunk works are the best way to allow a brick-and-mortar company to compete in an on-line world.
Low-frequency, low-severity loss exposures are best handled by
A) avoidance. B) retention. C) insurance. D) noninsurance transfer.
In the context of a SWOT (strengths, weaknesses, opportunities, and threats) analysis of a company, which of the following is an example of an external opportunity?
A. Lower costs and higher profit margins B. New social trends in the market C. Greater restrictions on trade in foreign markets D. Aggressive competition in the same industry
What creative insights could you offer DC Thomson regarding a strategy for social networking? What strategic options would you recommend considering further?
What will be an ideal response?