Question 1

The value of a firm less the Net Present Value of its debt equals the stock market value of its equity

Accepted Answer

A) True 
 B)False

Question 2

The maximization of the value of the firm is primarily determined by:

Accepted Answer

A) The profits it earns over its lifetime 
B) The market share it enjoys over its lifetime 
C) The firm's compliance with state regulations 
D) Its market capitalisation. 
A) The profits it earns over its lifetime 
B) The market share it enjoys over its lifetime 
C) The firm's compliance with state regulations 
D) Its market capitalisation.

Question 3

What could be called a "paradox of the profit motive"?

Accepted Answer

A) The fact that highly profitable companies continue to be highly profitable, even though they don't need to be 
B) The fact that profitable firms might not see threats in their environments which lead to loss of profit in future 
C) The fact that many successful firms are not driven purely by profit but by broader aims and goals 
D) The fact that most of the world's largest firms from 50 years ago have since been bought or gone out of business 
A) The fact that highly profitable companies continue to be highly profitable, even though they don't need to be 
B) The fact that profitable firms might not see threats in their environments which lead to loss of profit in future 
C) The fact that many successful firms are not driven purely by profit but by broader aims and goals 
D) The fact that most of the world's largest firms from 50 years ago have since been bought or gone out of business

Question 4

What is the fundamental problem of any type of performance management system?

Accepted Answer

A) It is purely to do with financial ratios 
B) Middle and junior managers work towards short-term targets, which must always be consistent with long-term goals 
C) Performance goals are short term, whereas performance targets need to be monitored over the long term 
D) Managerial, politics, and personal interests need to be taken into account 
A) It is purely to do with financial ratios 
B) Middle and junior managers work towards short-term targets, which must always be consistent with long-term goals 
C) Performance goals are short term, whereas performance targets need to be monitored over the long term 
D) Managerial, politics, and personal interests need to be taken into account

The value of a firm less the Net Present Value of its debt equals the stock market value of its equity

The maximization of the value of the firm is primarily determined by:

What could be called a "paradox of the profit motive"?

What is the fundamental problem of any type of performance management system?

The Concept of Strategy

Industry Analysis: the Fundamentals

Further Topics in Industry and Competitive Analysis

Analyzing Resources and Capabilities

Developing Resources and Capabilities

Organization Structure and Management Systems: the Fundamentals of Strategy Implementation

The Nature and Sources of Competitive Advantage

Cost Advantage

Differentiation Advantage

Industry Evolution and Strategic Change

Technology-Based Industries and the Management of Innovation

Competitive Advantage in Mature Industries

Vertical Integration and the Scope of the Firm

Global Strategies and the Multinational Corporation

Diversification Strategy

Implementing Corporate Strategy: Management of the Multibusiness Firm

Current Trends in Strategic Management

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Exam 2: Goals, Values and Performance

The value of a firm less the Net Present Value of its debt equals the stock market value of its equity

The maximization of the value of the firm is primarily determined by:

What could be called a "paradox of the profit motive"?

What is the fundamental problem of any type of performance management system?

The Concept of Strategy

Industry Analysis: the Fundamentals

Further Topics in Industry and Competitive Analysis

Analyzing Resources and Capabilities

Developing Resources and Capabilities

Organization Structure and Management Systems: the Fundamentals of Strategy Implementation

The Nature and Sources of Competitive Advantage

Cost Advantage

Differentiation Advantage

Industry Evolution and Strategic Change

Technology-Based Industries and the Management of Innovation

Competitive Advantage in Mature Industries

Vertical Integration and the Scope of the Firm

Global Strategies and the Multinational Corporation

Diversification Strategy

Implementing Corporate Strategy: Management of the Multibusiness Firm

Current Trends in Strategic Management

Filters