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8090 [49]
3 years ago
15

Strategic PlanningImagine that IBM has decided to diversify into the telecommunications business to provide online cloud-computi

ng data services and broadband access for businesses and individuals. What method would you recommend that IBM pursue to enter this industry? Why?
Business
1 answer:
rosijanka [135]3 years ago
4 0

Answer:

IBM could either diversify by the strategy of market penetration, which consists in increasing the market share in a particular sector (in this case, cloud computing) through more marketing efforts.

Or it could integrate horizontally, acquiring a possible competitor that is more advanced in the cloud-computing business. Or even a start-up with good prospects, because with the amount of capital that IBM has, it could more easily expand the start-up operation as a new internal business division.

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n launching its new line of power tools, Black and Decker spent a considerable amount of time and resources to educate, motivate
DaniilM [7]

Answer:

Push strategy

Explanation:

A push promotional strategy works to create customer demand for your product or service through promotion: for example, through discounts to retailers and trade promotions.  Push promotional strategies also focus on selling directly to customers, for example, through point of sale displays and direct approaches to customers

Black and Decker hopes its push strategy will lead to a more effective product launch.

3 0
3 years ago
Read 2 more answers
Suppose the United States maintains a price floor for spinach. This policy might decrease revenues for spinach farmers if the: m
soldi70 [24.7K]

Answer:

Demand for spinach is elastic.

Explanation:

The price floor, which is maintained by the United States, is the minimum price for selling the goods. This price is set above the equilibrium price, which results in excess supply while demand for the same goods remains constant.

Since the prices for spinach cannot be set lower than the price floor and the policy is decreasing the revenue output for spinach farmers then this probably means that the prices are set too high which has decreased the demand for spinach. This means that the demand for spinach is elastic.

4 0
3 years ago
Hart enterprises recently paid a dividend, d0, of $1.25. it expects to have nonconstant growth of 20% for 2 years followed by a
zepelin [54]

Answer:

Explanation:

Terminal or horizon date is a point in time where a company's dividend experiences a constant growth rate.

In this case, it is mentioned that non-constant growth rate of 20% will happen for first two years and thereafter, a constant rate of 5%; this means that

D1= 1.25(1.20) =1.5

D2 = 1.5 (1.20)= 1.8

Then starting at D3, there's a constant growth rate = 5% so,

D3 = 1.8 (1.05)= 1.89

D4 = 1.89(1.05)= 1.9845

D5 = 1.9845 (1.05) = 2.0837

.....and so on

Therefore, the horizon date would be at the end of the second year i.e. End of Year 2.

8 0
3 years ago
Diane, a police officer, stops Tim's car for a traffic offense. While talking to Tim, she shines a flashlight into the passenger
kati45 [8]

Answer:

Diane may search the passenger compartment of the car and any place else in the car, including the trunk, without Tim's consent. ⇒ TRUE

Explanation:

The Fourth Amendment of the Constitution protects people against illegal searches, seizures and warrants, but there are exceptions to this amendment:

  1. consensual searches: if the person is OK with the police officer searching his/her belongings
  2. brief investigatory stops: when the police officer is suspicious about a crime being committed
  3. searches incident to a valid arrest: if the police officer is arresting someone, he/she is allowed to search him
  4. seizures of items in plain view: if property is in plain view, the police officer does not need a warrant. ⇒ this exception applies to this case.
4 0
3 years ago
Hampton Corporation has a beta of 1.3 and a marginal tax rate of 34%. The expected return on the market is 11% and the risk-free
Maurinko [17]

Answer: 12.5%

Explanation:

Given the following :

Beta (B) = 1.3

Marginal tax rate = 34%

Risk free interest rate = 6%

Market rate of return = 11%

The cost of equity is calculated using the relation:

Risk free rate of return + Beta(market rate of return - risk free rate of return)

Cost of equity = 6% + 1.3(11% - 6%)

Cost of equity = 6% + 1.3(5%)

Cost of equity = 6% + 6.5%

Cost of equity = 12.5%

Therefore, the firm's cost of internal equity is 12.5%

6 0
3 years ago
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