Which statement is TRUE regarding SBUs?Multiple choice question.SBUs develop as cash cows.The term refers to parent companies.An SBU may have a different mission or objective from other divisions.The term SBU stands for "segmented business unit."
Question
Which statement is TRUE regarding SBUs?Multiple choice question.SBUs develop as cash cows.The term refers to parent companies.An SBU may have a different mission or objective from other divisions.The term SBU stands for "segmented business unit."
Solution
The statement that is TRUE regarding SBUs is "An SBU may have a different mission or objective from other divisions."
Here's why:
-
SBUs do not necessarily develop as cash cows. Cash cows are business units that generate more cash than they need to maintain their market share. It's a term from the Boston Consulting Group's growth-share matrix, not directly related to the concept of SBUs.
-
The term SBU does not refer to parent companies. It refers to a fully functional unit of a business (like a division or department) that has its own vision and direction.
-
An SBU (Strategic Business Unit) may indeed have a different mission or objective from other divisions. This is because each SBU focuses on a specific market segment and can develop its own strategies to best serve that segment.
-
The term SBU stands for "Strategic Business Unit," not "segmented business unit."
Similar Questions
According to the Boston Consulting Group matrix, cash cows are SBUs that do which of the following?Multiple choice question.compete in a low-growth market and have low market sharecompete in a high-growth market but have low market sharecompete in a low-growth market but have high market sharecompete in a high-growth market and have high market share
Which of the following is not an organization from which Randy should consider seeking advice and resources?Multiple ChoiceThe Service Corps of Retired Executives (SCORE)Small Business Administration (SBA)The Active Corps of Executives (ACE)IncorrectSmall Business Institutes (SBIs)Better Business Bureau
What is the SBA? Question 9Answer a. The method used to develop an operation’s marketing budget b. A government agency that helps small businesses c. A form of paid advertising d. A part of the marketing plan
Which of the following is not true of financial institutions?Group of answer choicesthey encompass a broad range of business operations within the financial services sector including banks, insurance companies, brokerage firms, and investment dealers.they are vital to a functioning capitalist economy in matching people seeking funds with those who can lend or invest it.they are uniquely American institutions found only in the U.S.they vary by size, scope, and geography.company engaged in the business of dealing with financial and monetary transactions such as deposits, loans, investments, and currency exchange.
Multiple Choice QuestionFinancial assistance by the Small Business Administration (SBA) for a new startup company is a form of _____ financing.Multiple choice question.capitalprofitworking capitaldebt
Upgrade your grade with Knowee
Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.