Quiz #2
1. Question: Why is the combined Chair/CEO (or Managing Director) positions being increasingly
criticized by most management scholars?
- Because of the divide in the workforce, disgruntled or immoral personnel are unable to wreak as much
damage or engage in dishonest business activities. One reason is that tasks and responsibilities must be
clearly defined based on a person's position. Because of the potential for conflict of interest, joint
Chair/CEO positions are increasingly being questioned. When it comes down to it, the CEO's
incompetence and self-interest determine whether or not the company they oversee succeeds. In this
case, management scholars are accurate, but they are a bunch of incompetents who sit in a nice chair
with no responsibility and criticize others.
2. Is there a close relationship between the composition of a board of directors and the organizational
performance? Why?
-There is a professional relationship, but not a close one. If the board of directors operated as planned,
the relationship would be stronger. However, because most boards are made up of CEO-family
members, there is a conflict of interest. The board of directors of a corporation is expected to operate as
a sort of watchdog, ensuring that the company's actual owners/operations do not go too far. They
would tell the CEO exactly what to do to make him or her redundant. In exceptional cases, they can
decide that a CEO is not the right person in charge and vote to remove them from office. Although some
board members are chosen for show, they make no attempt to check if the company is still operational.
much less that it is conducting business in a legal and rational manner. That means that the board and
the company's performance will be strongly related in some cases, but not in others.
3. What is the role of codetermination? In your opinion, is the incorporation of lower-level employees
on the board appropriate?
- Condetermination is a method in which employees of a company vote for representatives on the board
of directors. It has only lately acquired popularity in the United States. In my opinion, including lowerlevel firm executives on the board of directors is suitable since it will benefit in acquiring both
knowledge about an uncertain environment and objective expertise regarding future plans and tactics.
Furthermore, it may be advantageous because employees may provide insight into how others see their
judgments. Employee involvement is crucial to a company's long-term success.
4. What are the issues that suggest the need for oversight of a particular company’s management team?
- Internal or external auditors who identify questionable accounting methods are a strong indicator that
the company's top leaders are not being truthful with the company's finances, which indicates the need
for oversight. Second, bad sales or losses over a lengthy period of time suggest that management is not
performing well. In the event of an economic crisis or other hazards that management is unable to
control, Special Privileges may be granted. Managers at meetings and decision-making must be
overseen to avoid internal difficulties. Employee misconduct, such as theft, embezzlement, or fraud,
requires a great deal of managerial attention and development. Because of a lack of stringent corporate
governance, employees commit crimes.
5. What are the roles and responsibilities of an effective and active Board of Directors?
-More than well-known public people make up the Board of Directors. When filling vacancies in the
workplace, board of directors frequently look for specific characteristics. Board members are supposed
to ask difficult, probing questions to ensure that all sides of an issue are adequately investigated. The
board of directors of a firm must be well-versed in all of the company's key concerns and actively
involved in finding solutions. With the increasing complexity and number of risks, risk identification has
become an important part of board activities.The board of directors is responsible for directing the
corporation's affairs, but not for managing them, according to the legislation. A board of directors,
according to Stuart, is responsible for competent leadership, firm strategy, the appropriate balance of
risk and initiative, succession planning, and the business' long-term viability. The Board's key roles are to
monitor, analyze, and influence, as well as to initiate and determine.
quiz # 3
1. Q- HOW DOES A COMPANY ENSURE THAT ITS CODE OF ETHICS IS INTEGRATED INTO THE DAILY
DECISION-MAKING PROCESS OF THE COMPANY AND IS NOT JUST A SYMBOLIC TROPHOY OR PLAQUE
HANGING ON THE WALL?
A- The code of ethics is a subset of the code of conduct which can be obtained here. Subparts are
included in the code of conduct. It should be created in accordance with the organization's overall vision
and mission. It's also critical to provide ethical training to employees, which includes having trainers and
public speakers speak to them and share their real-world experiences. People learn more effectively
when they use visualizations and physical stores. It's a good way to communicate and teach people
about corporate ethics. It will almost probably aid the employee in future ethical judgments, both for
the organization and in his or her personal life.
2. Why do some employee of an organization behave unethically? Why is it necesarry for an
organization to develop employee ethics?
- For unclear reasons, some firm personnel behave unethically. Second, there may be no established
norms of behaviour in the organization. The cultural norms and values of employees are diverse. Maybe
it's something to do with your actions or your relationship. It is the responsibility of the ruling structure
to bear some responsibility. Finally, businesspeople and employees have distinct values. Business and
ethical behavior are both vital. Ethics is required for long-term properity. It helps to have a nice name.
Business ethics are held in high regard. Customers prefer to do business with a reliable company. Ethics
has a role as well. Money, time, and effort are not squandered for selfish reasons. The company's
compliance with the law can be aided by ethics. Remind employees that the law is just the start of the
ethical process. Too many companies and individuals engage in legal but unethical conduct. Ethics aids
teamwork. Employees and bosses who are confident in their abilities are more productive.
3. Why should Profit making-organization be socially responsible to its various stakeholders?
-In order to assess the company's actual and fair value and make investment decisions, shareholders as
business owners should be given correct information about the company. The corporation should pay
shareholders a suitable return on their investment. If shareholders do not receive a sufficient dividend,
they will be hesitant to put more money into the company. To ensure the company's continued success,
shareholders should be kept fully informed on the company's operations. Growth, innovation, and
diversity should all assist to improve stock prices. Simultaneously. To protect their own interests,
shareholders must provide constant support and cooperation to the company. Being a socially
responsible company has a lot of benefits, including the potential to charge premium rates and create
brand loyalty. It may aid in the development of long-term relationships with stakeholders. During
difficult times, it may rehire executive staff and rely on the goodwill of public officials for support.
4. What is your opinion of apple having a code of conduct to its suppliers? What would Milton Friedman
say? Contrast his view with archie caroll's View.
- Apple's supplier code of conduct, in my opinion, is a positive step forward because it assures that
suppliers adhere to high standards of social and environmental responsibility, as well as ethical behavior
and conduct. According to Friedman Militon, a proponent of social accountability, a responsible
businessperson is one who lowers the price of a company's good to avoid inflation, spends money to
reduce pollution, or hires the unemployed who are in the middle of things. He believes that the money
invested by shareholders is put to good use in the community where the company is based. Apart from
that, people agree on their own personal beliefs and obligations. There are no common ideals or societal
obligations. According to this definition, society is a collection of individuals and groups to which they
choose to belong.
5. How has moral relativism led to criminal activities by some employees in companies?
- Moral relativism can lead to immoral behavior in some cases. Because it blurs the line between good
and wrong in our lives, As a result, when employees become morally repugnant at work, criminal action
may ensue. Employees on the far end of this spectrum are more prone to turn their opinion into truth,
which is not in the company's best interest. People of this type believe that no one else can judge them,
which is a dangerous view to possess because it allows them to engage in any conduct, including
criminal activity, if they believe that no one else can. Furthermore, the organization's culture or location
are crucial. One must conform or mold oneself to the organization's culture or surroundings. When
moral relativism is taken into account, the right and wrong of one person will differ from that of
another.
quiz #4
1. How is Porter's Five force framework related to the identification of key success factors?
- Michael E. Porter's Five Forces model, which is used to develop company strategy, can be used to
assess an industry's competitiveness. The framework helps a corporation to identify and analyze the
most important aspects that determine the profitability of an industry. Porter's approach can be used to
classify competitive forces into five groups. These dynamics influence what determines a market's level
of competitiveness as well as its attractiveness to a company. A company's purpose is to take advantage
of these aspects through effective business strategy in order to improve its position in the industry.
Industry attractiveness is defined as the industry's overall profitability potential in this idea. An
appealing industry is one in which the forces' combined impact lower profitability. These factors are
referred to as the "Micro environment" by Porter. They have an impact on a company's profitability as
well as how well it serves its target market. One of the Forces could change at any time, necessitating a
complete reorganization of a company's surroundings, business methods, and strategies.
2. How does STEEP analysis aid in the development of the strategy of a company?
- Marketers and analysts can use a STEEP research to find external factors that could have an impact on
a company. In the corporate sector, decisions are frequently made in a hurry, with little concern for the
long-term consequences of their actions. STEEP anaylsis, which focuses on external effects, can be used
to investigate the past and predict the future. This analysis helps you to take a step back from your own
personal experiences and gain a better understanding of a number of important factors that may
influence your decision-making. Working through a STEEP analysis can help you maintain alignment with
the company's values. STEEP stands for Socio-Technological Economic-Environmental-Political. STEEP
addresses the five most crucial factors when it comes to forecasting the future and strengthening your
strategic planning.
3. The effects of climante change on companies can be grouped into six categories of risks.
- Changing weather or climate can have a substantial impact on the hotel industry, with severe
consequences for the bottom line. If the weather forecast calls for rain or cooler temps, staying at home
is preferable to going to the beach. As a result, it is feasible to conclude that climate change has an
impact on tourism demand. Another projected worry is rising sea levels, which could result in the sea
covering the littel islands, which are quite popular with tourists. It's also being fueled by a greater
attention from regulators and investors who want to guarantee that businesses make the proper
disclosures and follow the ever-changing regulatory framework..
4. What are the most significant implications of strategic group analysis of an organization?
Strategic groups are vital in the development, implementation, and monitoring of an organization's
overall strategy in any company. The strategic group analysis is beneficial for determining the strategic
dynamics and movements that are taking place in the sector at any particular time. It also assists in
identifying current and possible strategic movements by market competitors, which is critical in
determining the strategic decision that your company will make in the near future. The technique of
assessing the relative positions of numerous competitors in a competitive market is known as strategic
group analysis. It will examine the underlying factors that influence a company's profitability and overall
success. This research is also expected to take into account the competitive dynamics that exist across
the entire industry. In order to look into a variety of things that may need to be looked into. It is possible
to form strategic groups. Every aspect of an industry or competitive relationship that exists has the
potential to be the focus of a strategic group formed just for it. Several times, groups are divided into
categories depending on their competitive strategies and where they compete inside their particular
industries.
5. How do corporations analyze the societal environment? Is STEEP anaylsis an appropriate tool?
-A marketing tool known as a STEEP analysis is used to examine how various external factors can impact
a firm. Before making decisions, it is critical for any organization to consider some external
considerations. Many people lack imagination because it is based on their own experiences and
opinions. This frequently causes people to ignore the truth or fail to recognize significant changes in the
environment around them. In business, it's critical to make quick judgments, but it's also critical to think
hard about what you're doing before you do it. STEEP Analysis is a useful tool for determining what is
going on in a business or trade.
The STEEP analysis discusses the current state of the business or trade. This aids an organization in
considering the roles, relationships, and needs of those who will purchase from them in the future.
When one factor changes, another changes as well. Many firms all over the world utilize STEEP analysis
to ensure that their brands are excellent enough to sell. The STEEP analysis' major purpose is to figure
out what the future holds and to learn about the market before introducing any new brands. This
research also provides a wealth of detailed information on several aspects of the business environment.
STEEP serves as a link between the future and the present, connecting the two. The study paints a clear
picture of where the company could be as a result of certain decisions.
QUIZ 5
1. How is possession on of valuble and scarce resources of an organization . . . . . . . . . .
- For most people, money is a precious item. Automobiles and houses, as well as other tangible assets
are essential resources When studying organizations, common resources like cash and automobiles are
not considered strategic resources. Furthermore, while assets such as cash and vehicles are valuable,
rivals can quickly obtain them. As a result, an organization's attempt to achieve a competitive edge
through resource pooling would fail. A strategic resource is one of the most significant tools in a
company's arsenal. The ability of a company to leverage its internal resources to establish a competitive
advantage over rival options determines the long-term success of an innovation. and the impact of
innovation to the firm's financial performance in a specific market. According to resource-based
competitive advantage theory. because it assumes a directed relationship between competition notions
It is foreseen. The idea of resource accumulation and usage says that innovations gain a long-term
competitive advantage by collecting and utilising resources in ways that are difficult to replace or copy.
According to this study, successful innovations are not only dependent on new ideas. The people
involved in the innovation are the organizations. The setting in which it is executed and disseminated, as
well as the advantages of the innovation to stakeholders and the firm, all play a part in its success.
2. Why is organization culture important for a business to effectively formulate its strategy?
-The success and well-being of your firm, employees, and customers are all dependent on organizational
culture. So think about your company's culture and why it's so important to preserve it that way. A
strategic plan is necessary for corporate success. To improve performance, a corporation must be able
to effectively implement its strategy. The culture of an organization generally impacts execution success.
In other words, it is vital to create a culture that encourages flexibility and takes responsibility for
change. An open culture to change can be created by a senior leadership team that communicates an
agency's strategic goals frequently and effectively. In all elements of everyday operations and
organizational structure, your company's essential ideas are front and center. Its importance is
immeasurable. The culture of your company can also serve as a unifying force. They will be guided by
the culture of your firm. As a result, it's vital to start with onboarding. Employees are drawn together
and aligned by a strong organizational culture. When your culture is readily apparent. Multiple points of
view can coalesce around it. The culture of your firm sets the tone for how people interact and
collaborate.
3. Explain how using an IFAS Table impacts the understanding of a company's internal resouces and
capabilities?
The IFAS table is useful for determining an organization's internal resources and capabilities. The IFAS
table is used to determine the internal resources and capabilities of an organization. The IFAS table was
used. The strengths and shortcomings of the organization are identified. The internal factor anaylsis
summary table is used to assess these. Inconsistencies and defects are rated and categorized based on
their severity and impact. These problems and characteristics are studied and discussed in detail. With a
weighted score, this IFAS table shows the organization's strengths and flaws. This weighted score was
used to distinguish between major and minor elements. This table assists the organization in identifying
its strengths and weaknesses. The characteristics and defects can then be managed depending on their
importance, weighted score, and comments. The analytical noets make it easier to deal with them. This
stable is also used to manage the strengths and weaknesses of the organization. They are designed to
maximize the benefits to the firm while reducing the negative consequences of failure. Similarly, this
IFAS table aids the firm in keeping track of industry competitiveness and maintaining a competitive
advantage.
4. HOW DOES VRIO FRAMEWORK ANALYSIS HELP IN EVALUATING A COMPANY COMPENTENCIES?
-The VRIO method allows you to investigate resources and capabilities. at every stage of an
organization's value chain, both real and intangible It assists with strategy development by identifying
existing strengths and weaknesses. It also informs the compentencies that an organization should
maintain to protect or enhance its capabilities and resources as they evolve through time. Additionally,
as the competitive landscape shifts, managers must keep this framework up to date. The VRIO analysis
framework. Which proposes foru questions to assess a company's compliance.The framework's first
question is whether a resource helps a corporation take advantage of opportunities or mitigate risk. Are
there a few or no enterprises that have exclusive access to exceptionally valuable resources? Using
scarce and precious resources can provide a competitive edge. If a resource is difficult to reproduce or
substitute at a reasonable cost for other organizations. It is costly to duplicate. There are two ways to
impersonate someone. directly reproducing (duplicating) a resource or delivering a nearly identical
product/service (subsituting). Value is captured through organization. A corporation must organize its
management processes, procedures, policies, organizational structure, and culture in order to efficiently
harness the potential of its rare and expensive to replicate resources and competencies.
5. How does the resouce-based view of the firm provide a superior means of evaluating a company's
competitive advantage?
- For a company's long-term plan, the asset-based strategy is a game changer. This attitude is considered
as the greatest strategy to attain this goal in an organization. An organization's assets are similar to a
company's material advantages. These are the items that are used to sell goods and services, as well as
to conduct business with consumers and suppliers. Assets are important in any case, regardless of the
type of transaction. Organizational assets used to be critical to maintaining goodwill and upholding all
commitments made by the business. They are no longer as important. Some of these things are
observable, while others are not. A corporation like Apple Inc. has benefited from having a lot of
goodwill. Stay in business while also giving it a competitive advantage. Previously, these assets were
significant to the corporation. A company that buys low-cost products from suppliers and produces lowcost products can gain a competitive advantage. To say that the company has a fantastic reputation and
a lot of good will is an understatement. It is also possible for the corporation to examine its assets to see
how much they can do and how well they performed previously. We may determine this by examining
how satisfied consumers are, how much money assets generate for the organization, and how many
opportunities they provide.