Answer:
high-involvement organization
Explanation:
A high-involvement organization has a higher level of involvment from staff at all levels. The idea behind this approach is that higher staff involment increases performance and worker well being.
Answer:
All are options for offensive strategy
Explanation:
In this question, we are trying to select an option which is not in terms with the other options as regards what principal offensive strategy should be.
Now, what the term principal offensive strategy refers to is that it is a type of corporate strategy that pushes for changes within the industry. What we are trying to say is that, the principal offensive strategy pursues an agenda that is pushing for a change within the industry.
Efforts might be concerted or individual steps might be taken. Hence, various techniques or strategies are in place to be used.
Offensive strategy types includes, an end run strategy where a company does not want competition and thus explore the part of the market with little or none.
A preemptive one which seek to conform some advantages on the company as it is the first one based on demographics
Others include: an acquisition and a direct attack strategy
Answer:
Yes
Explanation:
Pricing plays an essential role for a product and organisation. At a very basic level, an organisation exists to make profit. A price must cover the cost of a good sold.
Pricing also plays a role in the perception of a product (marketing mix). For example, an Apple product is not cheap because of some perceived value of the product.
Another reason why pricing is integral is in times of competition, it may be worthwhile to use price to take market share from competitors.
Answer:
Lease Equipment $150,000
BUY EQUIPMENT$134,700
Differential Effects-$15,300
The company should choose BUY EQUIPMENT which is Alternative 2
Explanation:
Preparation of the differential analysis dated March 15 to determine whether Laredo Corporation should lease (Alternative 1) or purchase (Alternative 2) the equipment
Differential Analysis
Lease (Alt. 1) or Buy (Alt. 2) Equipment
March 15
Lease Equipment (Alternative 1); Buy Equipment
(Alternative 2); Differential Effects (Alternative 2)
Costs:
Purchase price $0 $120,000 $120,000
Freight and installation $0 $1,500 $1,500
Repair and maintenance (6 years) $0 $13,200.$13,200
($2,200*6=$13,200)
Lease (6 years) $150,000 $0 -$150,000
($25,000*6)
Total costs $150,000 $134,700 -$15,300
Based on the above calculation the company should choose BUY EQUIPMENT which is Alternative 2
Answer:
4.25%
Explanation:
We need to calculate the net present value of the cash flows to determine the IRR.
NPV = PV of Cash inflows - PV of Cash outflows
As the cash inflow and outflow are fixed for specific period of time so, we will use the annuity formula to calculate the NPV.
NPV = [ $5,000 x ( 1 - ( 1 + 18% )^-5) /18% ] - [ ( $4,000 x ( 1 - ( 1 + 18% )^-12) /18%) x ( 1 + 18%)^-6 ]
NPV = $15,636 - $7,102 = $8,534
We need NPV on a higher rate of 10%
NPV = [ $5,000 x ( 1 - ( 1 + 10% )^-5) /10% ] - [ ( $4,000 x ( 1 - ( 1 + 10% )^-12) /10%) x ( 1 + 10%)^-6 ]
NPV = $18,954 - $15,385 = $3,569
IRR = Lower rate + [ Lower rate NPV / (Lower rate NPV - Higher rate NPV) ] (higher rate - lower rate)
IRR = 10% + [ 3,569 / ($3,569 - $8,534) ] (18% - 10%)
IRR = 4.25%
