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Business Strategy: Example Questions

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1. If workers can impact strategy what other organizational levels (perhaps higher than corporate?) might impact the firm's strategy?

2. Do you think there is a problem of excessive CEO pay with variable wages and compensation? why?

3. How does agency theory challenge the pure economic profit model of capitalism? Can public corporations ever achieve maximization given agency arrangements?

4. Describe the debate on social responsibility - what is your opinion? Use the stakeholder model to support your position.

5. Compare and contrast McDonald's, Burger King, and Wendy's using competitor analysis. Describe their competitive positions and the profitability of the industry they are in

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This solution discusses example business strategy questions.

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1. If workers can impact strategy what other organizational levels (perhaps higher than corporate?) might impact the firm's strategy?

Along with workers other organizational levels like shareholders, creditors, customers and the top level managers can impact the firm's strategy. As we know that the main motive of the firm is to earn profit in order to maximize shareholder's wealth. Hence, any strategy that a firm makes needs an approval of the shareholder. Similarly the creditor has its stake in the firm and due to this it will try to impact the strategy in order to protect its interest. Customers are the one on whom the strategies are made. Market competition, technological changes, innovation are other factors that impact the firm's strategy.

2. Do you think there is a problem of excessive CEO pay with variable wages and compensation? why?

Excessive pay is really a problem, but the biggest problem is how to decide what is excessive for a CEO who put his acumen in order to run the firm in extreme circumstances. Variable ...

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  • MBA, Indian Institute of Finance
  • Bsc, Madras University
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