Why do you think alex took active role in supporting drug

Assignment Help Managerial Economics
Reference no: EM13920743

Alex Cohen is the general manager of the textile division in a large diversified company. Recently, Alex argued strongly to the CEO that an expansion request by the drug division be approved. On the surface, Alex's actions seem strange, given that Alex is not affected by this decision (it does not affect his budget or his compensation). Further, Alex spent substantial time developing his presentation for the CEO.

a. Why do you think Alex took such an active role in supporting the drug division's request?

b. Since Alex is not affected by the decision, should the CEO consider Alex as an unbiased observer who is focused on trying to maximize company value? Explain.

Reference no: EM13920743

Questions Cloud

What have motivated management to make the dramatic increase : What might have motivated management to make this dramatic increase in leverage, given that it placed the firm in a near "financial crisis"?
Define entrepreneurship and intrapreneurship : Discuss the advantages or disadvantages that have resulted from the particular approach. Discuss the challenges faced in bringing the innovated product to the market.
Tail-flagging and antipredator signals in white-tailed deer : Was the method used to test the predictions experimental - The time duration for which the jerk lasted was also calculated and kept in the record
Barriers to entry and product homogeneity : How do you think barriers to entry and product homogeneity affect the competitive nature of industries? For example, why do some agricultural products, such as wheat and soybeans, tend to fit the definition of perfectly competitive markets more th..
Why do you think alex took active role in supporting drug : Alex Cohen is the general manager of the textile division in a large diversified company. Why do you think Alex took such an active role in supporting the drug division's request?
Explain the nature of competition in a market : Explain the nature of competition in a market that is characterized by a high barrier to entry and a significant product homogeneity. Provide a detailed example, and support your point of view.
Effect of density age and weight on the percent body : Effect of the style (g=Gothic, r=Romanesque) on the total length (y) of English medieval cathedrals, accounting for nave height (x) in cathedral dataset from faraway package. Effect of density, age and weight on the percent body fat (brozek) in fat..
What is the probability that carl arrives first : What is the probability that Carl arrives first? For the rest of this problem, assume that Carl arrives rst at 1:10 pm, and condition on this fact.
Problem regarding the childhood obesity epidemic : Do you think there is any difference with how private schools handle the childhood obesity epidemic that is different from public schools? If so why and if no why not?

Reviews

Write a Review

Managerial Economics Questions & Answers

  Disucss the influences of price elasticity of demand

Post a memo to explain the factors that contribute to the elasticity of goods. Also incorporate a real-life example of price elasticity of demand, and discuss how it impacts the economy.

  Dominant strategy - nash equilibrium strategies

Does either hospital have a dominant strategy (or any dominated strategy)? Assuming that they determine their strategies independently of one another, what are the hospitals' respective Nash equilibrium strategies? Explain why.

  Interaction of the multiplier and the accelerator

1. How can the interaction of the multiplier and the accelerator explain cyclical fluctuations in national income?

  Factors determine a country''s terms of trade

What factors determine a country's terms of trade?

  Universal rental car pricing simulation

Weekday vs. weekend demand. How did they differ? What are they a proxy for? How did their price responsiveness differ and why? How did you use this information in your pricing decisions?

  Demand-side and supply side policies. sometimes it is said t

Define demand-side and supply side policies. Sometimes it is said that Keynesian s advocate demand side policies and monetarists advocate supply side policies. Is there any accuracy in this statement?

  Calculate selling price per unit

If a firm wishes to break-even at 20,000 units, its variable cost per unit is $3, and its fixed cost per period is $40,000, its selling price per unit will have to be;

  Firm under monopoly or oligopoly that aims

1.A firm under monopoly or oligopoly that aims to maximize sales revenue will tend to produce more than a firm that aims to maximize profits.

  Calculate the total expected utility

Which of the two options should Patricia pursue if she wants to open a restaurant in a suburban area of Los Angeles? Calculate the total expected utility from each restaurant option and compare.

  Practice of tipping

In most restaurants, waiters receive a big portion of their compensation through tips from customers. Generally, the size of the tip is decided by the customer. However, many restaurants require a 15 percent tip for parties of eight or more.

  If contract promises were not excused because of acts of

If contract promises were not excused because of acts of war, would the clearing and settlements clients of Bank of New York change their behavior? If so, how? What reliance behavior would be considered efficient? What reliance behavior would be cons..

  Relationship between productivity and the wages earned

Determine what is the relationship between productivity and the wages earned by an employee? What are some factors that determine the level of your income?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd