A value innovation strategy requires trade-offs between differentiation and low costs. These are two distinct business-level positions that often require very different internal value chain activities. An example of a low-cost activity that may not be appropriate for a differentiator is _____

Answers

Answer 1
Answer:

Answer:

The standardization of the production process for higher output levels with fewer model changes

Explanation:

The standardization of production process has the potential to reduce the unit cost, though it may also reduce the flexibility necessary for the production of different products in a timely way. Consequently, this may reduce the product value on the part of customer.

Answer 2
Answer:

Final answer:

A low-cost activity not suitable for a differentiator could be bulk purchasing of standard components as it may limit product uniqueness. Differentiation instead needs activities like design innovation, market research, and the use of costly, unique resources, possibly involving international trade and evaluating different parts of the value chain.

Explanation:

A low-cost activity that may not be appropriate for a differentiator could be bulk purchasing of standard components. While this approach can help a company minimize costs, it may prevent differentiation if the relied-upon components are standard and widely used, thereby limiting a product's uniqueness. Focusing on differentiation requires a company to focus on activities such as product differentiation, creating unique aspects of its product that allow it to stand out from competitors. These activities can be more expensive because they often involve design innovation, in-depth market research, and costly resources or materials. Particularly, when a company engages in international trade, differentiation may involve slicing up the value chain through tasks such as specialized manufacturing or tailoring marketing approaches to specific regional markets.

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Bruce is a single father with 1 child. He can work as a bagger at the local grocery store for $6 per hour up to 1,200 hours per year. He is eligible for welfare, and if he does not earn any income, he will receive $15,000 a year. If Bruce works, the government policy is to deduct 60 cents from his welfare stipend for every $1 that he earns in income. With this policy in place, if Bruce works 600 hours, his income will be

Answers

Answer:

Total income= $16,440

Explanation:

Giving the following information:

Bruce is a single father with 1 child. He can work as a bagger at the local grocery store for $6 per hour. He is eligible for welfare, and if he does not earn any income, he will receive $15,000 a year. If Bruce works, the government policy is to deduct 60 cents from his welfare stipend for every $1 that he earns in income. With this policy in place, if Bruce works 600 hours, his income will be.

Work= 600*6= 3,600

Welfare= 15,000 - (3600*0.60)= 12,840

Total income= $16,440

Quantitative Problem 2: Carlysle Corporation has perpetual preferred stock outstanding that pays a constant annual dividend of $1.90 at the end of each year. If investors require an 7% return on the preferred stock, what is the price of the firm's perpetual preferred stock? Do not round intermediate calculations. Round your answer to the nearest cent. $ per share

Answers

Answer:

$27.14

Explanation:

Calculation for the price of the firm's perpetual preferred stock

Using this formula

Price of the firm perpetual preferred stock = Annual dividend / Required return

Where,

Annual dividend =$1.90

Required return=7% or 0.07

Let plug in the formula

Price of the firm perpetual preferred stock = $1.90 / 0.07

Price of the firm perpetual preferred stock=$27.14

Therefore the Price of the firm perpetual preferred stock will be $27.14

Paula, a human resource executive, is setting up a mentoring program at her company. Which action will best help the program succeed

Answers

Answer:

making sure the performance management system rewards managers for employee development

Explanation:

It is very important that the management system supports the program by using rewards to managers as a means of enhancing employee developments.

A reward system is very important in human resources management. It makes people to put in their best. It also attract talented people as well as improving organizational values. Through this system, the mentoring program would be most likely to succeed.

Question 2 Pluto has $100 to spend and his preferences are represented by the quasi-linear utility function U (2,m) = 10x-1/2x^2+m where x is the amount of pizza he eats and m is the amount of money he spends on other stuff. (a) What is Pluto's demand curve for pizza? (b) How much consumer surplus does Pluto get when the price of pizza is $5? Illustrate the calculation of consumer surplus with a diagram. (b) What is Pluto's utility if the price of pizza is $5? (c) Suppose that Pluto is uanble to purchase pizza. What is his utility? What is the gain in utility when he has the opportunity to buy pizza at a price of $5?

Answers

Answer:

(a) see curve on attachment

(bi) consumer surplus= $4

(bii) see diagram on attachment

(biii) utility = 2

(ci) u(0,1) = 1

(c) utility gain = 1.6

Explanation:

Which of the following best describes why the aggregate demand curve is downward sloping? a. As the aggregate price level decreases, the stock of existing physical capital increases.
b. As the aggregate price level increases, consumer expectations about the future change.
c. An increase in the aggregate price level causes consumer and investment spending to fall because consumer purchasing power decreases and money demand increases.
d. As a good\'s price increases, holding all else constant, the good\'s quantity demanded decreases.

Answers

Answer: c. An increase in the aggregate price level causes consumer and investment spending to fall because consumer purchasing power decreases and money demand increases.

Explanation:

The Aggregate Demand (AD) curve is used to measure the impact that price level has on the expenditure in the economy.

The AD comprises of Investment, Consumption Spending, Government spending and Net Income.

When prices are high, households will spend less as they cannot afford to spend a lot which will reduce consumption spending.

Another result of a high price level is that people will have less money to save and so there will be a lower supply of loanable funds.

Both of these components of the AD reduce when prices increase and vice versa. This is why the AD is downward slopping.

The aggregate demand curve is downward sloping because an increase in the aggregate price level causes consumer and investment spending to fall.

The correct answer is c. An increase in the aggregate price level causes consumer and investment spending to fall because consumer purchasing power decreases and money demand increases.

The aggregate demand curve represents the relationship between the aggregate price level and the quantity of goods and services demanded in an economy. It is downward sloping because when the aggregate price level increases, consumer purchasing power decreases as the cost of goods and services rises. This leads to a decrease in consumer and investment spending, causing the aggregate demand curve to slope downwards.

For example, when the price of gasoline increases, individuals and businesses may cut back on their spending on other goods and services to compensate for the higher cost of fuel. This decrease in purchasing power and spending ultimately affects the overall demand in the economy.

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Parent company X and subsidiary company Y file a calendar year consolidated federal income tax return. Company X reported a $120,000 tax loss, which included a $10,000 dividend from Y. Company Y reported $140,000 of taxable income, which included $30,000 of dividends received from less than 20% owned stock investments. Neither company took into account any applicable dividends received deduction. What is the group's consolidated tax loss for the year

Answers

Answer:

The adjusted tax loss of the group is $11000

Find detailed computation in the attached spreadsheet.

Explanation:

The the tax loss of the of parent company X needs to be adjusted for inter-company dividends of $10000.By eliminating the dividends,the loss becomes $130,000.

On other hand,the profit of company Y needs to be adjusted as well for 70% dividends-received deduction,by eliminating 70% of $30000 dividends received, which amounts to $21000.

By deducting the $21000 from $140000 taxable income,taxable income drops to $119000.

On aggregation, the adjusted tax loss of parent and adjusted taxable income of subsidiary gives $11000 tax loss.

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