Chapter 8: Selecting

Corporate-Level Strategies
Strategic Management
Learning Objectives
After reading this chapter, you should be able to understand and articulate answers to the
following questions:
→ What is corporate-level strategy and how does it differ from business-level
strategy?
→ What is vertical integration and what benefits can it provide?
→ What are the three types of diversification and when should they be used?
→ What are four methods that a firm can use to implement its corporate strategy?
→ Why and how might a firm retrench or restructure?
→ What is portfolio planning and why is it useful?
8.1 Introduction
Introduction
→ The preceding chapters focused on generic business-level, also
referred to as generic competitive strategy: how firms compete
head-to-head on products and services they offer.
→ The intent is to develop strategies that provide a competitive
advantage, so that buyers will purchase what a business has to offer
instead of purchasing from a competitor. However, there are three
types of strategy: business-level, corporate-level, and international
strategy.
8.2 Corporate-Level Strategy
Defined
 Business and Corporate Level Strategy
• Business-level strategy deals directly with how a firm
competes in the marketplace. How does the firm get buyers to
purchase their products and services as opposed to those of
their competitors?
• Corporate-level strategy considers issues at a broader level
of analysis. The word “corporate” does not refer to the legal
entity of a corporation, but to the level of strategy higher than
direct head-to-head competition.
8.3 Diversification
There are three types of diversification:
1. Related Diversification — Diversifying into business lines
in the same industry; Volkswagen acquiring Audi is an
example.
2. Unrelated Diversification — Diversifying into new
industries, such as Amazon entering the grocery store
business with its purchase of Whole Foods.
3. Geographic Diversification — Operating in various
geographic markets, which is the corporate strategy of
Starbucks, Target, and KFC.
Horizontal Integration: Mergers and Acquisitions
• Horizontal integration refers to pursuing a diversification strategy by
acquiring or merging with a rival. The term merger is generally used
when two similarly sized firms are integrated into a single entity. In
an acquisition, a larger firm purchases and absorbs a smaller firm.
Vertical Integration Strategies
• A firm gets involved in new portions of the
value chain. This approach can be very
attractive when a firm’s suppliers or buyers
have too much power over the firm and are
becoming increasingly profitable at the firm’s
expense.
• Firms can pursue vertical integration on their
own, such as when Apple opened stores
bearing its brand, or through a merger or
acquisition, such as when eBay purchased
PayPal.
Backward Vertical Integration
• A backward vertical integration strategy involves a firm moving back
along the value chain and entering a supplier’s business.
Forward Vertical Integration
• A forward vertical integration
strategy involves a firm
moving further down the
value chain to enter a
buyer’s business.
8.4 Implementing Corporate
Strategy
Implementing Corporate Strategy
→ There are various ways that a firm can implement their corporate
diversification strategy. These are:
→ Internal Development - means the company develops and launches
the new business themselves.
→ Strategic Alliance - is a mutually beneficial relationship between two
organizations, usually governed through a contractual agreement.
→ Joint Venture - a new company is always formed
→ Merger and Acquisition - A merger is between two companies of
similar size and are less common. Acquisitions occur when one
company buys another
8.5 Strategies for Getting
Smaller
Strategies for Getting Smaller

• Retrenchment - is often accomplished through laying off employees. This

strategy was particularly evident during the COVID-19 pandemic of 2020.
Many organizations shrank temporarily with hopes of surviving until the
economy opened up again. Some did survive, and unfortunately, some did
not.
• For example: PAL Implements Workforce Reduction. Philippine Airlines
(PAL) is now implementing a company-wide workforce reduction program
covering about 2,300 employees, approximately 30% of the airline’s
workforce. The total includes both voluntary separations and involuntary
retrenchment, and the affected personnel will continue to be employed until
mid-March 2021 (Philippines Airlines , 2020).
Strategies for Getting Smaller
• Restructuring - is when a company makes significant changes to its financial or
operational structure, typically while under financial duress. Companies may also
restructure when preparing for a sale, buyout, merger, change in overall goals, or
transfer of ownership.
• Spin-offs occur when businesses create a new firm from a piece of their operations.
Because some diversified firms are too complex for investors to understand, breaking
them up can create wealth by resulting in greater stock market valuations.
• Divestment refers to selling off part of a firm’s operations. Executives are sometimes
forced to admit that the operations that they want to abandon have no value. If selling
off part of a business is not possible, the best option may be liquidation. This
involves simply shutting down portions of a firm’s operations, often at a tremendous
financial loss.
8.6 Portfolio Planning and
Corporate-Level Strategy
The Boston Consulting Group Matrix

• The Boston Consulting Group

(BCG) Matrix is the best-known
approach to portfolio planning.
• Using the matrix requires a firm’s
businesses to be categorized as
high or low along two dimensions:
its share of the market and the
growth rate of its industry
The BCG Matrix has four quadrants or categories:
• Cash Cows: High market share units within slow growing industries are called
cash cows. Because their industries have bleak prospects, profits from cash
cows should not be invested back into cash cows but rather diverted to more
promising businesses.
• Dogs: Low market share units within slow growing industries are called dogs.
These units are good candidates for divestment.
• Stars: High market share units within fast-growing industries are called stars.
These units have bright prospects and thus are good candidates for growth.
• Question Marks: Finally, low-market-share units within fast-growing industries
are called question marks. Executives must decide whether to build these units
into stars, hold them, or to divest them.
Limitations to Portfolio Planning

• First, portfolio planning generalizes the reality of

competition by focusing on just two dimensions when
analyzing a company’s operations within an industry.
• Second, portfolio planning can create motivational
problems among employees.
• Third, portfolio planning does not help identify new
opportunities. Because this tool only deals with existing
businesses, it cannot reveal what new industries a firm
should consider entering.
 Chapter 8: Selecting
Corporate-Level Strategies
Strategic Management
Chapter 9: Competing in
International Markets
Strategic Management
Learning Objectives
After reading this chapter, you should be able to understand and articulate answers to the following questions:
→ What are the main benefits and risks of competing in international markets?
→ What is the “diamond model,” and how does it help explain why some firms compete better
in international markets than others?
→ How does the CAGE framework help a firm predict its degree of success in doing business in
another country?
→ What are the four global strategies that firms can adopt, and what are the two pressures that
define these strategies?
→ What methods of entry are available to firms that seek to compete in international markets?
9.1 Introduction
Introduction
→ International strategy is the third and final type of strategy presented in
this textbook. The first, generic business-level/competitive strategy, is how
companies directly compete with rivals on their products and services.
→ In international strategy, a firm may desire to expand by entering into new
foreign markets or to lower its costs. There are advantages and
opportunities when going international, but it is not without risks.
→ Firms will need to determine which one of four international strategies
will work best and which method to enter another country.
9.2 Advantages and Disadvantages of
Competing in International
Markets
 International strategy
• is determining how to do business outside the borders of a firm’s
home country.
• International strategy for a firm can be somewhat minimal, such as
procuring needed supply chain resources for manufacturing a
product in the home country, to an expanded role, like exporting
products for sale in other countries, to full manufacturing
subsidiaries such as the Kia example in the US.
 Why Compete in New Markets?
1. Access to New Customers - gaining access to new customers.
2. Lowering Costs - If a firm can increase its sales volume by
entering a new country, for example, it may attain economies of
scale that lower its per unit production costs.
• Offshoring - involves relocating a business activity to another
country.
• Reshoring - whereby jobs that had been sent overseas are
returning home.
3. Diversification of Business Risk
 Diversification of Business Risk
1. Political risk refers to the potential for government upheaval or
interference with business to harm an operation within a country.
2. Economic risk refers to the potential for a country’s economic
conditions and policies, property rights protections, and currency
exchange rates to harm a firm’s operations within a country.
3. Cultural risk refers to the potential for a company’s operations in a
country to struggle because of differences in language, customs,
norms, and customer preferences
9.3 CAGE Framework
 CAGE Framework
1. The CAGE framework (Mariadoss, 2017) helps a firm
gauge the distance that the target country is from the
firm’s home country on four dimensions.
2. The four CAGE dimensions are:
❑ Cultural Distance
❑ Administrative Distance
❑ Geographic Distance
❑ Economic Distance
 Cultural and Administrative Distance:
1. Cultural Distance: This refers to the differences of
cultures between the target and home countries. The
history of relationships between nations provides one
source of explanation for the closeness (similarity) or
distance (difference) between cultures.
2. Administrative Distance: The legal and political
systems of the home and target countries determine the
administrative distance between the two. In countries
where the political systems are different
 Geographic and Economic Distance:
1. Geographic Distance: The literal physical distance
between the home and target country are a key
consideration of this dimension.
2. Economic Distance: International business between
two countries is also impacted by the differences in their
economic factors. The greater the differences in the two
economies, the more difficult it is to be successful
9.4 Types of International
Strategies
Multinational corporation (MNC).

→ A firm that has operations in more than one country.

→ The largest MNCs are major players within the
international arena.
→ Walmart’s annual worldwide sales, for example, are
larger than the dollar value of the entire economies of
Austria, Norway, and Saudi Arabia. Although Walmart
tends to be viewed as an American retailer, the firm
earns 35% of its revenues outside the United States.
There are four main international strategies available:

1. International
2. Multi-domestic
3. Global
4. Transnational
 International Strategy
• Firms pursuing an international
strategy are neither concerned
about costs nor adapting to the
local cultural conditions. They
attempt to sell their products
internationally with little to no
change.
 Multi-Domestic Strategy
• A firm using a multi-
domestic strategy does not
focus on cost or efficiency
but emphasizes
responsiveness to local
requirements within each of
its markets
 Global Strategy
• A firm using a global
strategy sacrifices
responsiveness to local
requirements within each of
its markets in favor of
emphasizing lower costs
and better efficiency.
 Transnational Strategy
• A firm using a transnational strategy
seeks a middle ground between a
multi-domestic strategy and a global
strategy.
• In France, for example, wine can be
purchased at McDonald’s.
• In Saudi Arabia, McDonalds serves a
McArabia Chicken sandwich, and its
breakfast menu features no pork
products like ham, bacon, or sausage
9.5 Drivers of Success and Failure When
Competing in International
Markets
International arena is shaped by four factors

1. Their home country’s demand conditions

2. Their home country’s factor conditions
3. Related and supporting industries within their
home country
4. Strategy, structure, and rivalry among their
domestic competitors
Demand Conditions

• It refers Demand Conditions to

the nature of domestic
customers.
• Japanese consumers are known
for insisting on very high levels
of quality, aesthetics, and
reliability.
• Japanese automakers such as
Honda, Toyota, and Nissan reap
rewards from this situation
Factor Conditions

• It refers to the nature of raw

material and other inputs that
firms need to create goods and
services.
• Examples include land, labor,
capital markets, and
infrastructure
Related and Supporting Industries
Firm Strategy, Structure, and Rivalry

• The concept of firm strategy,

structure, and rivalry within the
diamond model refers to how
challenging it is to survive domestic
competition.
• When domestic competition is fierce,
the survivors are well prepared for the
international arena.
9.6 Options for Competing in
International Markets
Exporting

• Exporting involves
creating goods within a
firm’s home country and
then shipping them to
another country.
Exporting

• Exporting involves
creating goods within a
firm’s home country and
then shipping them to
another country.
Licensing

• Licensing involves
granting a foreign
company the right to
create a company’s
product within a foreign
country in exchange for a
fee.
Franchising

• Franchising involves an organization (called a franchiser) granting the right

to use its brand name, products, and processes to other organizations
(known as franchisees) in exchange for an up-front payment (a franchise
fee) and a percentage of franchisees’ revenues (a royalty fee)
• Franchising is an attractive way to enter foreign markets because it requires
little financial investment by the franchiser.
Joint Ventures and Strategic Alliances

• Joint ventures and strategic alliances are especially attractive when

a firm believes that working closely with locals will provide important
knowledge about local conditions, facilitate acceptance of their
involvement by government officials, or both.
Chapter 10: Executing Strategy
through Organizational Design
Strategic Management
Learning Objectives
After reading this chapter, you should be able to understand and articulate
answers to the following questions:
→ Why is a firm’s organizational structure important?
→ What are the basic building blocks of organizational structure?
→ What are strategic advantages and disadvantages of each organizational
structure type?
→ What are the different forms of control and when should they be used?
→ What are the key legal forms of business, and what implications does the
choice of a business form have for organizational structure?
10.1 Introduction
Introduction
→ This chapter addresses why organizational structure is important to
achieving a firm’s strategic goals—which types of structures are
deployed by firms, what control systems are used by firms, and what
are the options for establishing a legal entity.
→ These organizational decisions should support and align with an
organization’s mission, vision, and values to ensure ethical as well
as strategic outcomes.
→ Executives who skillfully orchestrate structure and control are likely
to lead their firms to greater levels of success. I
10.2 Why Organizational Design?
 Organizational Design
• Firms must be organized in an
optimal way to be able to compete
and accomplish its mission.
• A firm must find the best “fit” to
deal with the business
environment and maximize its
internal resources, capabilities, and
core competencies.
10.3 The Basic Building Blocks of
Organizational Structure
10.4 Creating an Organizational
Structure
Functional Structure

→ Functional structures rely on a division of labor whereby groups of people

handle activities related to a specific function of the overall business.
Illustrated are functional structures in action within two types of
organizations that commonly use them.
Multi-Divisional Structure

→ In this type of structure, employees are divided into departments based on

product areas and/or geographic regions.
→ A big advantage of a multi-divisional structure is that it allows a firm to act
quickly. The downside of multi divisional structures is that they tend to be
more costly to operate than functional structures.
Matrix Structure

→ These structures create cross-functional teams that each work on a different

project. This offers several benefits: maximizing the organization’s flexibility,
enhancing communication across functional lines, and creating a spirit of
teamwork and collaboration.
→ A matrix structure can also help develop new managers.
→ Using a matrix structure can create difficulties too. Matrix structure violates
the unity of command principle, because each employee is assigned
multiple bosses
Boundaryless Organizations

→ A boundaryless organization is one that removes the usual barriers between

parts of the organization as well as barriers between the organization and
others (Askenas, et. al., 1995).
→ Boundaryless organizations work best in knowledge industries, such as
information technology and communications firms.
10.5 Creating Organizational Control
Systems
Organizational Control Systems

Three basic types of control systems are available

to executives:
(1) output control
(2) behavioral control,
(3) clan control.
Output Control

• Output control focuses on measurable results within an

organization.
• Examples from the business world include the number of
hits a website receives per day, the number of
microwave ovens an assembly line produces per week,
and the number of vehicles a car salesman sells per
month
Behavioral Control
• Behavioral controls dictate the actions of individuals. Such controls often
emphasize rules and procedures. Some behavioral controls found in
organizations are illustrated below.
• While output control focuses on results, behavioral control focuses on
controlling the actions that ultimately lead to results.
Clan Control

• Clan control relies on shared traditions, expectations, values,

and norms to lead people to work toward the good of their
organization.
Management Fads: Out of Control?
10.6 Legal Forms of Business
❑Owned by one person only
❑Owner has full liability of
the business
❑If a sole proprietor is on the
losing end of a significant lawsuit,
for example, the owner could find
his personal assets forfeited.
❑Owned by two or more persons
❑Both business partner have full liability
❑In partnership, your partner could
make bad decisions that end up costing
you a lot of money.
❑Taxes are also paid at the partners
individual rate, a tax advantage
generally.
❑Is a business organization where
ownership is through shares of stock.
❑A corporation is a legal entity that is
separate and different from its owners.
❑Corporations sell shares of ownership
that are publicly traded in stock markets,
and they are managed by professional
executives.
❑A board of directors serves as the
POLICY-MAKING BODY of corporation.
❑S corporation is designed for smaller
companies.
❑The firm’s profits and losses are reported
on owners’ personal tax returns in
proportion with each owner’s share of the
firm,
❑is granted in state laws.
❑LLCs mix attractive features of
corporations and partnerships.
❑LLC are not personally liable for debts
that the LLC accumulates (like in a
corporation)
Chapter 11: Leading an Ethical Organization:
Corporate Governance, Corporate Ethics, and
Social Responsibility
Strategic Management
Learning Objectives
After reading this chapter, you should be able to understand and articulate answers to
the following questions:
→ What is the role of the firm’s board of directors as it relates to ethical behavior of
the firm?
→ What is corporate social responsibility and its strategic role for a firm?
→ What are the implications of the contemporary ethical questions and issues facing
companies?
11.1 Introduction
Introduction
→ Today, more than ever, stakeholders are placing a variety of ethical and socially responsible
demands on firms across industries.
→ Ethical assessments of the external and internal environments must be performed using
accurate information and transparent processes even in competitive environments.
→ When firms attempt to gain a competitive advantage, many companies engage in legitimate
and accepted competitive tactics, but sometimes firms cross the line and enter unethical, and
perhaps illegal, space in their quest.
→ As firms move from “doing right” to “doing good,” and endorse corporate social responsibility
philosophies and activities, employees, managers, customers, and other stakeholders take
pride and satisfaction in the impact their company has on improving the society.
11.2 Doing Well by Doing Good
 Ethics as Corporate Strategy
• One positive outcome of the corporate scandals has been an increased
focus by firms on corporate ethics.
• Many companies now have an Ethics and Compliance Officer and a
detailed Ethics and Compliance Code.
• Many firms provide annual training to all its employees on their company’s
ethics and compliance standards.
• Another form of regulation designed to prevent corporate misbehavior are
“whistleblower” laws and policies. Many firms intentionally encourage
employees to report any suspected misconduct by the firm, its managers, or
employees.
 CSR as Corporate Strategy
• Corporate Social Responsibility (CSR) emerged in the 1970s to assert that
a “social contract” exists between business and society.
• It is a business model that attempts to “give back” to the members of the
community or society that help the firm succeed through the purchasing of
its products or services.
• The goal of CSR is to enhance the success of a business by enhancing the
society in which the organization operates.
• Many firms adopt the Triple Bottom Line approach to guide their CSR
philosophy. The company focuses on the three P’s; profit, planet, and
people
11.3 Corporate Governance
 The Many Roles of Boards of Directors
• An effective board plays many roles, ranging from the approval of financial
objectives, advising on strategic issues, making the firm aware of relevant
laws, and representing stakeholders who have an interest in the long-term
performance of the firm.
 The Many Roles of Boards of Directors
• An effective board plays many roles, ranging from the approval of financial
objectives, advising on strategic issues, making the firm aware of relevant
laws, and representing stakeholders who have an interest in the long-term
performance of the firm.
 The Many Roles of Boards of Directors
• A conflict of interest exists when a person could receive personal
benefit from decisions they make in their official capacity. For
example, if a firm’s purchasing agent’s husband owns an office
supply company that could sell products to the firm, the purchasing
agent has a conflict of interest.
• This separation of interest creates an agency problem wherein the
interests of the individuals that manage the company (agents such
as the CEO) may not align with the interest of the owners (such as
stockholders)
11.4 Corporate Ethics and Social
Responsibil
What Is Corporate Social Responsibility?
→ Corporate Social Responsibility (CSR) “is
a self-regulating business model that
helps a company be socially
accountable—to itself, its stakeholders,
and the public.
→ By practicing corporate social
responsibility, also referred to simply as
social responsibility, companies can be
conscious of the kind of impact they are
having on all aspects of society, including
economic, social, and environmental”
Some examples of CSR efforts are:

→ Reducing their carbon footprint—Coca Cola

→ Ensuring contract manufacturers pay a living wage—Patagonia
→ Improving sustainable manufacturing—BMW
→ Matches employees’ donations to nonprofits—Microsoft and Google
→ Reducing carbon emissions—United Airlines
→ Promoting literacy among children—Twitter
→ Eliminating foam cups—Dunkin’
→ Donating employees’ hours to children’s tutoring—Salesforce
Creating Shared Value (CSV)

→ Michael Porter and Mark Kramer suggest that instead of CSR, wise
corporations are shifting to a Creating Shared Value (CSV) model that
argues that firms should address social issues by creating shared value,
which is fundamentally focused on expanding the total pool of social and
economic resources.
→ Creating shared value (CSV) is a business strategy that creates a direct
link between the success of the firm and the improvement of society.
→ A key differentiating detail is the explicit focus of CSV in generating positive
economic outcomes through its strategic investments
Measuring Corporate Social Performance

→ Corporate social performance is defined as the degree to which a firm’s

actions honor ethical values that respect individuals, communities, and the
natural environment.
→ They conduct ongoing research on social, governance, and environmental
performance metrics of publicly traded firms and reports such statistics to
institutional investors.
→ Assessing the community dimension of CSP is accomplished by assessing
community strengths, such as charitable or innovative giving that supports
housing, education, or relations with indigenous peoples, as well as
charitable efforts worldwide, such as volunteer efforts or in-kind giving.
Measuring Corporate Social Performance
11.5 Contemporary Questions of
Corporate Ethics
Contemporary Questions of Corporate Ethics

→ Sometimes companies and the individuals in those companies cross the line
and commit acts that are unethical, immoral, or illegal.
→ Society has attempted to erect barriers to prevent these activities from
happening by passing laws and regulations, expecting a strict code of ethics
and conduct, and providing measures of a firm’s social contribution.
→ Firms committed to ethical business practices must start by recognizing that
just because an action is legal, it does not mean it is ethical.
→ Will companies stick to their core values statements when ethical decision
making gets tough? Some of these questions are explored below.
Stakeholder Considerations

→ Companies entering this market have used the strategy of “low price, low
margins, high volumes” in attempts to gain profitability, but this strategy
required appropriately 30% market penetration to be successful.
1. Offshoring - As US wages increased, and with improvements in communications and
transportation, many US companies offshored their activities, with US firms setting up their
call centers abroad, along with IT services and even accounting services. The ethical
question is, “Is offshoring ethical?”
2. Environment/Climate Change/Sustainability - as regulations are loosened, others believe
it contributes to increased pollution, poorer human health, and global warming with all its
implications for drought, rising sea levels, and loss of animal and plant species.
3. Global Economic Inequality - the increase in global trade, particularly in commodities
produced by poorer countries. COVID-19 caused economic activity to decline world wide,
and employment in poorer countries dropped off considerably.
Question 1
2 / 2 pts
The firm will resort fo offshoring to take advantage of much lower overhead
costs.
Correct!
Correct Answers
TRUE
 
 
Question 2
2 / 2 pts
Which of the following involves a friendly takeover?
Correct!
  
White Knight
 
  
Golden Parachute
 
  
Greenmail
 
  
Shark Repellant
 
 
Question 3
0 / 2 pts
The firm will only start performing CSR activities, once profits would come in.
You Answered
Correct Answers
TRUE
 
 
Question 4
2 / 2 pts
Clan control which often revolve around shared values and team spirit is
usually seen in
  
individuals
 
  
subordinates
 
  
employees
 
Correct!
  
fraternities
 
 
Question 5
2 / 2 pts
According to Milton Friedman, the first obligation of any firm would be to its
stockholders.
Correct!
Correct Answers
TRUE
 
 
Question 6
2 / 2 pts
As government regulations are loosened, it often leads to the following
drawbacks except
  
pollution
 
  
poor health and safety
 
  
global warming
 
Correct!
  
quality of life
 
 
Question 7
0 / 2 pts
Concern for the environment falls under what among the triple bottom line?
  
Profit
 
Correct Answer
  
Planet
 
  
People
 
You Answered
  
Plant
 
 
Question 8
0 / 2 pts
Which is not a role of the Board of Directors?
You Answered
  
setting CEO pay
 
  
advising in strategic issues
 
  
awareness of relevant laws
 
Correct Answer
  
decides on corporate problems
 
 
Question 9
2 / 2 pts
Which of the following offers the organization fresh ideas which is a result of
brainstorming activities?
Correct!
  
Quality Circles
 
  
Sensitivity Training
 
  
Management by Objectives
 
  
Strong Culture
 
 
Question 10
2 / 2 pts
Which is not a primary concern in choosing the right form of business?
  
taxes
 
  
liability of owners
 
  
ease of operating the entity
 
Correct!
  
CSR activities
 
 
Question 11
2 / 2 pts
Which of the following is not a type of organizational control system?
  
Output Control
 
  
Clan Control
 
  
Behavioral Control
 
Correct!
  
Strategic Control
 
 
Question 12
2 / 2 pts
Corporate Sustainability Responsibility helps a company be socially
accountable, to itself, to its stakeholders and to the public.
Correct!
Correct Answers
SUSTAINABILITY-SOCIAL
 
 
Question 13
2 / 2 pts
CEO duality exists when a person could receive a personal benefit from
decisions they make in their official capacity.
You Answered
Correct Answers
CEO DUALITY-CONFLICT OF INTEREST
 
 
Question 14
2 / 2 pts
The shareholder is the owner of which form of business?
  
All of these
 
  
Sole Proprietorship
 
  
Partnership
 
Correct!
  
Corporation
 
 
Question 15
2 / 2 pts
Which of the following will gain a positive score in the corporate social
performance of a firm?
  
single use plastics
 
  
massive layoffs
 
Correct!
  
diverse workforce
 
  
questionable product quality
 
 
Question 16
2 / 2 pts
When investing, investors are often advised, to buy low and sell high.
Correct!
Correct Answers
TRUE
 
 
Question 17
2 / 2 pts
A white knight invades the firm by purchasing its stocks.
You Answered
Correct Answers
WHITE KNIGHT- CORPORATE RAIDER
 
 
Question 18
2 / 2 pts
If the firm wants to be agile, then a functional structure should be used.
Correct!
Correct Answers
FUNCTIONAL-BOUNDARYLESS
 
 
Question 19
4 / 4 pts
Correct!
only one boss
 
               Unity of Command             
Correct!
subordinate
 
               Vertical Linkage             
Other Incorrect Match Options:

 Informal Linkage
 Division of Labor
 Horizontal Linkage