Incumbent firms favor incremental innovation over radical innovation because

A. their business decisions are independent of the other parties in their innovation ecosystem.
B. radical innovation will disturb the existing power distribution within the firms.
C. incremental innovations help firms sustain a permanent competitive advantage, whereas radical innovations only help gain a temporary advantage.
D. incumbent firms do not have formal organizational structures and processes like the way new entrants do.


Answer: B

Business

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Indicate whether the statement is true or false

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a. All corporations must issue common stock. b. Common shareholders have a claim on the assets of a firm after creditors and preferred shareholders have received amounts promised to them. c. Frequently, corporations grant voting rights only to common shares, giving their holders the right to elect members of the board of directors and to decide certain broad corporate policies (spelled out in the stock contract). d. Some firms issue more than one class of common shares, with each class granted different voting rights. e. Firms generally issue preferred shares, both at the time of initial incorporation and in subsequent years, for amounts greater than par (or stated) value.

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There is general agreement that there are fundamental differences between how men and women manage.

a. True b. false

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