Question

1. Identify a struggling company that could benefit from market penetration, market development, or product development. What might you advise this company’s executives to do differently?

2. Some universities have used vertical integration by creating their own publishing companies. The Harvard Business Press is perhaps the best-known example. Are there other ways that a university might vertically integrate? If so, what benefits might this create?

3. Studies have shown that executives’ pay increases when their firms gets larger. To what extent do you think executive pay plays in diversification decisions?

4. What might executives do to keep employees within dog units motivated and focused on their jobs?

Answer 1

1. Identify a struggling company that could benefit from market penetration, market development, or product development. What might you advise this company’s executives to do differently?

A company currently struggling is Kodak. Kodak was a cutting-edge technology company that is now in a tough spot to continue going forward. Kodak can try in make a comeback through product development. I think it would work in the company’s benefit if the company focused on developing products that are more technologically advanced, as today’s market is can continues to be.

2. Some universities have used vertical integration by creating their own publishing companies. The Harvard Business Press is perhaps the best-known example. Are there other ways that a university might vertically integrate? If so, what benefits might this create?

Another way universities vertically integrate is by having their own bookstores. Universities sell books in-house making it more convenient for students to purchase books there as opposed to an outside source. Some universities even offer their own books, where that book is a requirement for the course they are taking. This means the students have no other option than to purchase from the bookstore, resulting in a huge benefit for the university.

3. Studies have shown that executives’ pay increases when their firms get larger. To what extent do you think executive pay plays in diversification decisions?

When firms get larger the executives within the company usually get an increase in pay. I think executives pay plays a big part in diversification decisions. When entering entirely new industries executives play in a big role in the failure or success based on the strategies they use. Diversification strategies comes with a lot of risk and executives are paid for the work they put in to make it succeed.

4. What might executives do to keep employees within dog units motivated and focused on their jobs?

It is considered to be within dog units when the industry growth rate is low and the relative market share is low as well. In order to keep employees motivated, executives first have to lead by example. Executives must have a motivational spirit if they want employees to do the same. Also, they might motivate employees with incentives. They might do employee potlucks or activities days where it can bring the employees together.

KINDLY RATE THE ANSWER AS THUMBS UP. THANKS A LOT.