Question

In: Economics

__________ is an investor's uncertainty about the economic gains or losses that will result from a...

__________ is an investor's uncertainty about the economic gains or losses that will result from a particular investment.

Select one:

a. Risk

b. Revenue

c. Return

d. Reward

Question 2

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A key purpose of a vision and mission statement is to inform _________ what a firm is, what it seeks to accomplish, and who it seeks to serve.

Select one:

a. former employees

b. regulators

c. CEOs

d. stakeholders

Question 3

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A major assumption about the strategic management process is that it is:

Select one:

a. team-based.

b. inclusive.

c. rational.

d. inspired.

Question 4

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A retail outlet can attempt several remedies to improve profitability to meet the expectations of its __________ stakeholders, including closing stores, changing the top management team, and seeking potential buyers.

Select one:

a. governmental

b. capital market

c. organizational

d. product market

Question 5

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Before liquidating during a bankruptcy, a company will take several actions to try to satisfy its __________ stakeholders.

Select one:

a. capital market

b. organizational

c. governmental

d. product market

Question 6

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Dissatisfied capital market stakeholders may:

Select one:

a. lobby for better working conditions for employees.

b. All of these are correct.

c. sell their stock.

d. impose more flexible covenants on subsequent borrowing of capital.

Solutions

Expert Solution

1. (A) Risk

risk is the uncertainity that the investor has about the investment , and think of profit and loss related to investment.

2. (D) stakeholders

A key purpose of a vision and mission statement is to inform stakeholders what a firm is, what it seeks to accomplish, and who it seeks to serve.

3. (C) rational

strategic management process is based on rational decision making in which whole organization follow tasks identified earliers.

4. (B) capital market

capital market in which stakeholder has invested their money and expecting great amount of return. so their interest has to be served on priority basis.

5.(A) capital market

Before liquidating during a bankruptcy, a company will take several actions to try to satisfy its capital market stakeholders as they have invested a huge amount of money in the captal market to return on their investment and liquidating is not a good thing for them so before liquidating they want their money back with profitability as much as possible to, so to satisfy them is quite important.

6 (B) All of these are correct.

dissatisfied capital market stakeholder want to revive the various process to improve the working condition of the organization by lobby for better working conditions for employees, sell their stock and impose more flexible covenants on subsequent borrowing of capital.


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