Selection of an insider as a new CEO indicates a firm’s desire to encourage innovation and strategic change

Attitudes toward corporate governance in Japan are affected by the concepts of obligation, family, and consensus

All of the following are correct about what managers should know about firms based in a country with a national competitive advantage EXCEPT:

As a process, entrepreneurship results in the “creative destruction” of existing products (goods or services) or methods of producing them and replaces them with new products and production methods

In recent years, the number of individuals who are large-block shareholders has declined and been replaced by institutional owners

The advantages of long tenure (firm-specific human and social capital, knowledge, and power) seem to outweigh the disadvantages of rigidity and maintaining the status quo

Because top management decisions are usually complex and nonroutine, direct supervision (even by the firm’s board of directors) is likely to be ineffective as a means of judging the quality of their decisions

A worldwide geographic area structure is an organizational form in which:

The CEO of YorkMark, Inc., has an exceptional amount of power in the organization. It is likely the board of directors is composed of sympathetic outside members and insiders who report to the CEO

In the United States, the primary goal of a firm is to maximize profits to provide a financial gain to shareholders