Companies that take the current industry structure and its evolution as givens and choose where to compete are known as

A. incubators.
B. shapers.
C. regulators.
D. adapters.
E. compromisers.


Answer: D

Business

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All of the following are typically costs that fail the future benefits test of long-lived operating assets except:

a. costs related to research and development b. costs related to marketing c. costs related to brand-building activities d. costs of equipment used in production

Business

A standard cost system is one:

a. that provides a separate record of cost for each special-order product. b. that uses predetermined costs to furnish a measurement that helps management make decisions regarding the efficiency of operations. c. that accumulates costs for each department or process in the factory. d. where costs are accumulated on a job cost sheet.

Business

Headquarters is more likely to rely on subsidiary management if:

A. the subsidiary is located far away from headquarters. B. the host country has similar institutions and politics to those in the home country. C. conditions in the host country are very similar to those in the home country. D. subsidiary managers are from another country.

Business

At the end of year 1 firm XYZ has TA=$325 bn., and it is financed with debt with a book value of $125 mn. and equity with a book value of $200 mn. The firm must pay 10% interest annually on its debt. In year 2, the firm had a net income of $55 mn

The firm's year 2 ROA was (i), and the firm's year 2 ROE was (ii). ROA ROE a. 12.0% 27.5% b. 12.0% 17.1% c. 16.9% 27.5% d. 16.9% 17.1% FORMULAS: ROA=NI/TA; ROE=NI/BEQ

Business