EBK STRATEGIC MANAGEMENT: CONCEPTS
4th Edition
ISBN: 8220106797259
Author: Rothaermel
Publisher: YUZU
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Chapter 9.4, Problem 1CC
Summary Introduction
Case summary:
Company LT entered an alliance with Company GM and WO for the strategic reason to gain access to the critical complementary assets. Company WO is an early leader in the autonomous vehicle development sector.
Company TA is using an innovative autopilot feature in their vehicles. Company WO provides the brains for the self-driving technology. It lacks for potential opportunity in terms of large-scale development.
To explain: The reason why Company LT entered a strategic alliance with Company GM and WO.
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QUESTION 2
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Differentiate between unitary (single-tier) and two-tier board structures.
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Case Study
The composition and role of boards.
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authority to manage the corporation's business and affairs, and the board's members have a
fiduciary responsibility to act in the best interests of the corporation and its shareholders. Boards
are thus collegial bodies in the traditional sense that their members share authority and
responsibility, and have both individual and collective accountability.
Boards typically delegate much of their authority to an executive team that carries out the day-to-
day operations of the corporation's business. However, some board duties cannot be delegated,
and boards vary widely in the extent of their involvement in the business. The board's core
functions typically include selecting, monitoring, advising, and compensating the chief executive;
monitoring the company's financial structure and declaring dividends; deciding on major
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Chapter 9 Solutions
EBK STRATEGIC MANAGEMENT: CONCEPTS
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