Corporate governance involves oversight in areas where owners, managers, and members of boards of directors may have conflicts of interest

The simple structure is used by owner-managed firms that are characterized by informal relationships, few rules, limited task specialization, and unsophisticated information systems

While both incremental and novel innovations can create value, incremental innovations have the potential to contribute more significantly to a firm’s efforts to earn above-average returns

If the company’s workers have scant existing knowledge, their “absorptive capacity” to learn new knowledge will be limited

Corporate entrepreneurship describes the opportunity seeking and exploitation of innovations in new start-up enterprises

The level of entrepreneurial activity in a nation is __________ the nation’s level of economic productivity.

Criteria, such as percentage of repeat business and improvements in innovation ability, are part of the learning and growth perspective of the balanced scorecard

Financial controls provide feedback about outcomes achieved from past actions and predictions about future performance

The cooperative form is an M-form structure in which horizontal integration is used to bring about interdivisional cooperation

Ichabod Industries has a Latin American Division, a European Division, an Industrial Lubricants Division, and a Food Service Division. Ichabod Industries probably uses the __________ organizational structure.