EBK STRATEGIC MANAGEMENT: CONCEPTS
4th Edition
ISBN: 8220106797259
Author: Rothaermel
Publisher: YUZU
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Chapter 12, Problem 2DQ
Summary Introduction
Situation: CEO should not serve as chairman of the board.
To discuss: The drawback of building a sustainable competitive advantage if two positions are held by one person and drawbacks to stakeholder and determine the situation where it would be advantageous to have one person in both positions.
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Can I receive assistance with the below two questions, please
PART A: Several years ago, Hurricane Gilbert destroyed thousands of acres of banana in Jamaica. Farmers whose crops were destroyed by the hurricane were much worse off, but farmers whose crops were not destroyed benefited from the hurricane. Why did this occur? What information would you need about the market for bananas in order to assess whether farmers as a group were hurt or helped by the floods?
PART B: Explain why the following might be true: A drought in the Caribbean raises the total revenue that producers receive from the sale of coffee, but a drought only in Grenada reduces the total revenue that Grenadian producers receive.
Ensure that you define any key terms used in your discussion.
The obligations of an investor-owned company's board of directors in the strategy-making, strategy-executing process include
A) taking the lead in developing the company's business model and strategic vision.
B) coming up with compelling strategy proposals to debate against those put forward by top management.
C) taking the lead in formulating the company's strategic plan but then delegating the task of implementing and executing the strategic plan to the company's CEO and other senior executives.
D) overseeing the company's financial accounting and financial reporting practices and setting CEO compensation.
E) approving the company's operating strategies, functional-area strategies, business strategy, and overall corporate strategy.
This company has over 600 senior partners elect its Global managing partner every three years. Incumbents resubmit themselves for re-election at the end of three years.
“You've got to make sure there is a group of candidates from which to select every three years. That is done by giving partners leadership opportunity where they can be tested”, the Managing Partner said. who was first elected global managing partner and went on to be re-elected two more times.
The managing partner was running the office when his name first appeared on the list of candidates. Another, the then successful candidate, arranged for the managing partner to take on the role of chairing another office, standing him in prime position years later.
"The successful global managing partner uses the ballot to identify potential future candidates and gives them leadership opportunities."
Planning by the global managing director for this succession is crucial.
"If a bunch of people leaves after the vote, it is not a…
Chapter 12 Solutions
EBK STRATEGIC MANAGEMENT: CONCEPTS
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