One way to judge the performance of a company is to compare it with other companies. This technique, commonly called "benchmarking", permits the manager of a company to discover better industrial practices and can provide a justification for the adoption of good practices.
Any of the following, if true, is a valid reason for benchmarking the performance of a company against companies with which it is not in competition rather that against competitors EXCEPT:
(A) Comparisons with competitors are most likely to fous on practices that the manager making the comparisions already employs
(B) Getting "inside" information about the unique practices of competitors is particularly difficult
(C) Since companies that compete with each other are likely to have cpmparable levels of efficiency, only benchmarking against noncompetitors is likely to reveal practices that would aid in beating competitors
(D) Managers are generally more receptive to new ideas that they find outside their own industry
(E) Much of the success of good companies is due to their adoption of practices that take advantage of the special circumstances of their products of markets
OA: E
can someone explain all these options in details?
need to know how to verify the answer. thank u so much! (:
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Benchmarking!
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Four of the answer choices will offer a valid reason for benchmarking the performance of a company against NONCOMPETITORS.amysky_0205 wrote:One way to judge the performance of a company is to compare it with other companies. This technique, commonly called "benchmarking", permits the manager of a company to discover better industrial practices and can provide a justification for the adoption of good practices.
Any of the following, if true, is a valid reason for benchmarking the performance of a company against companies with which it is not in competition rather that against competitors EXCEPT:
(A) Comparisons with competitors are most likely to focus on practices that the manager making the comparisions already employs.
(B) Getting "inside" information about the unique practices of competitors is particularly difficult
(C) Since companies that compete with each other are likely to have cpmparable levels of efficiency, only benchmarking against noncompetitors is likely to reveal practices that would aid in beating competitors
(D) Managers are generally more receptive to new ideas that they find outside their own industry
(E) Much of the success of good companies is due to their adoption of practices that take advantage of the special circumstances of their products of markets
OA: E
can someone explain all these options in details?
need to know how to verify the answer. thank u so much! (:
The correct answer will be the EXCEPTION: it will offer a valid reason for benchmarking against COMPETITORS.
(A) Comparisons with competitors are most likely to focus on practices that the manager making the comparisons already employs.
Thus, the manager will not learn new practices from these competitors -- a valid reason for benchmarking against NONCOMPETITORS.
Eliminate A.
(B) Getting "inside" information about the unique practices of competitors is particularly difficult.
Thus, the manager will not be able to get "inside" information from these competitors -- a valid reason for benchmarking against NONCOMPETITORS.
Eliminate B.
(C) Since companies that compete with each other are likely to have comparable levels of efficiency, only benchmarking against noncompetitors is likely to reveal practices that would aid in beating competitors.
A valid reason for benchmarking against NONCOMPETITORS.
Eliminate C.
(D) Managers are generally more receptive to new ideas that they find outside their own industry.
A valid reason for benchmarking against NONCOMPETITORS that are outside the industry in which the manager works.
Eliminate D.
(E) Much of the success of good companies is due to their adoption of practices that take advantage of the special circumstances of their products of markets.
This answer choice is the EXCEPTION: unlike the others, it offers a valid reason for benchmarking against COMPETITORS.
The correct answer is E.
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Followed here and elsewhere by over 1900 test-takers.
I have worked with students based in the US, Australia, Taiwan, China, Tajikistan, Kuwait, Saudi Arabia -- a long list of countries.
My students have been admitted to HBS, CBS, Tuck, Yale, Stern, Fuqua -- a long list of top programs.
As a tutor, I don't simply teach you how I would approach problems.
I unlock the best way for YOU to solve problems.
For more information, please email me (Mitch Hunt) at [email protected].
Student Review #1
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