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Identify the appropriate strategies
Which of the following management controls and compensation policies is consistent with implementing cost leadership? With product differentiation? With both cost leader-ship and product differentiation? With neither cost leadership nor product differentiation?
a. Firm-wide stock options
b. Compensation that rewards each function separately for meeting its own objectives
c. A detailed financial budget plan
d. A document that describes, in detail, how the innovation process will unfold in a firm
e. A policy that reduces the compensation of a manager who introduces a product that fails in the market
f. A policy that reduces the compensation of a manager who introduces several products that fails in the market
g. The creation of a purchasing council to discuss how different business units can reduce their costs.
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