A telecommunication company divided into different divisions for residential and business Internet service is an example of
a. An M-form of an organization
b. A functional organization
c. An N-form organization
d. All of the above
QUESTION 2Firms maintain their completive edge by
a. Providing a good at lower costs than their rivals
b. Providing a superior product at the same cost as your rival
c. Being innovative
d. All the above
QUESTION 3Suppose nominal interest rates in the U.S. rise from 4.6 to 5 and decline in Britain from 6 to 5.5, while U.S. consumer inflation remains unchanged at 1.9 and British inflation declines from 4 to 3. In addition suppose, real growth in the U.S. is forecasted for next year at 4 and in Britain real growth is forecasted at 5. Finally, suppose producer price inflation in the U.S. is declining from 2 to 1 while in Britain producer price inflation is rising from 2 to 3.2. Explain what effect each of these factors would have on the long-term trend exchange rate ( per ) and why?
QUESTION 4A bank divided in different divisions for consumer banking and business banking is an example of
a. An M-form of an organization
b. A functional organization
c. An N-form organization
d. All of the above
QUESTION 5You run a construction firm with unique capabilities. An architecture firm you have worked for in the past is working on a proposal for a new building that could earn them huge profits. They are considering one of two unique design concepts that either exploit your capabilities or those of another contractor with a different set of capabilities. They contact you to determine if you could actually get the job done and to get a quote to be included in their bid. The client makes a few changes that will have a small impact on your operations but awards the contract to the architect's plan that includes you. How does the awarding of the contract with changes affect how much your final fee for your services?
QUESTION 6Regarding short-range exchange rate movements, which of the following statements is NOT true?
a. they may vary from week to week
b. they may vary from hour to hour
c. are similar to those of the transaction demand determinants of long-term trends in exchange rates
d. determined by arbitrage activity
e. both a and b are false