The board of directors of CamCell, Inc., wishes to design a CEO compensation plan that will align the personal interests of the CEO with the interests of the shareholders in long-term firm performance. The board wishes the CEO to take more short-term risks in order to achieve potentially higher long-term returns. Consequently, the board has decided on an incentive plan that involves payout based on the firm’s performance five years in the future. CamCell is presently searching for a new CEO. Which of the following statements is true?

If an analysis were to show that a firm is benefitting from internal competition, it is probably using what type of strategy?

Which key strategic leadership action plays a key role in influencing how the firm conducts its business and regulates and controls employees’ behavior?

Normally, the more involved a board of directors is in shaping the firm’s strategic direction, the:

Because it replaces existing products and methods of production, entrepreneurship is a process of:

If the firm’s current employees are well-trained in their jobs, but also have the ability to understand and apply new knowledge, these employees have:

The CEO of Transector, Inc., set a 6.5 percent rate-of-return target for all divisions for the past year. Now, at the end of the year, three of Transector’s seven divisions have not met this rate-of-return goal. The division managers of these three underperforming divisions have all secretly contacted executive-placement firms to investigate openings at other firms, because they know their future at Transector is in jeopardy as financial performance is all-important at Transector. Transector probably uses the __________ structure.

AviMin uses a differentiation strategy, delivering products that customers perceive as unique in ways that create value. AviMin likely focuses on what functions?

At a recent stockholders meeting for Ignate Inc., a group of stockholders expressed disagreement with the way that the managers were using free cash flow.  Because they wanted to be able to control how the cash is invested, the stockholders lobbied that the free cash flow should be:

What condition suggests that it would be appropriate for a firm to hire a CEO from outside the firm?