What sequence should products follow for success? What may management do to ensure this sequence?
What will be an ideal response?
Ideally, a company should enter the market when the product is in its introduction stage, gain market share in the growth stage, attain a position of dominance when the product enters its maturity stage, maintain the dominant position until the product enters its decline stage, and then determine the optimum point for liquidation. In terms of product portfolio, the company should secure the cash cow position but guard against the temptation to reinvest in them excessively. The cash generated from cash cows should first be used to support those stars that are not self-sustaining. The surplus cash may be used to finance select question marks to dominance. Question marks that cannot be funded should be divested. Following the portfolio approach, the company needs a cash-balanced portfolio of business, i.e., cash cows and dogs to throw off sufficient cash to fund stars and question marks.
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The materiality of an item of financial information refers to the likelihood that its omission or misstatement would affect the decisions of those relying on that information and thus make differing choices if the information had been presented. This concept most closely relates to the
A) financial magnitude of the item B) verifiability of the item C) neutrality of the item D) confirmatory value of the item
In a recent survey about appliance ownership, 58.3% of the respondents indicated that they own Maytag appliances, while 23.9% indicated they own both Maytag and GE appliances and 70.7% said they own at least one of the two appliances.Define the events asM = Owning a Maytag applianceG = Owning a GE appliance a.What is the probability that a respondent owns a GE appliance?b.Given that a respondent owns a Maytag appliance, what is the probability that the respondent also owns a GE appliance?c.Are events M and G mutually exclusive? Why or why not? Explain, using probabilities.d.Are the two events M and G independent? Explain, using probabilities.
What will be an ideal response?
ABC Corporation would like to evaluate three production processes (A, B, and C) to accommodate the changes in demand for its products. The fixed and variable costs per unit are tabled here. Determine the production volume at which costs of Processes B and C are equal.
A. 2,000
B. 3,000
C. 4,000
D. 1,000
Which organizational design process stage does this statement describe? In most cases, businesses will redesign their structures as a result of an expanding market, new competitors, globalization, or other industry changes.
a. Renewing the design b. Gathering data c. Understanding the business climate d. Evaluating the design