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Homework Questions for Week 4. Reading questiones.

Essay Instructions:

Written answers to any given question should be between 1-5 sentences or phrases. There is not always a right or wrong answer to a question. I may ask for a student’s opinion or informed/reasoned guess. You need not write in complete sentences

Homework Questions for Week 4

* Renault-Nissan: Synergies

Are these two different companies?
o To what extent are they similar?
o To what extent are they different?
Name at least five ways that Nissan and Renault benefit from their collaboration (as mentioned in the document)

* Excerpts from Saxenian, A. 1996. Regional advantage: Culture and Competition in Silicon Valley and Route 128.

Define organizational inertia either by quick research or through your understanding of the reading
Why did HP/Intel organize their businesses into small product divisions? Why not organize the company in some other way?
Describe how HP and Intel helped to promote informal communication through:
o Management styles and
o The physical environment/layout of their offices
Why is communication important for innovation? You can answer from the reading or any other source. Feel free to give you own thoughts.

* SEC Guide: "Basics of Financial Statements";

Financial Statement basics:
o * What is a financial statement? Why have public financial statements?
o What are the 3-4 most used financial statements?
o What is the role of auditors in preparing these financial statements?
o For public companies, where can you find them?
The balance sheet:
o Given the balance sheet equation:

A = L + SE

Describe what shareholder equity means in your own words.
o Consider a farmer that has crops growing in the ground. She plans to sell them when the crops are ready to be picked. Are these crops part of her fixed assets? Explain why or why not.
o Consider a delivery company’s delivery truck (lorry). Is the truck part of the company’s fixed or non-fixed assets?

The income statement:

o Why does the author use the analogy of a staircase to describe the income statement?
o Define depreciation expenses in your own words.
o Define earnings per share in your own words 
Financial Ratios:
o When making comparisons between two different companies, why is it helpful to look at firm financial ratios rather than just the absolute dollar numbers on financial statements?




Essay Sample Content Preview:

Reading Questions
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 Homework Questions for Week 4
* Renault-Nissan: Synergies
 • Are these two different companies?
• To what extent are they similar?
• To what extent are they different?
• Name at least five ways that Nissan and Renault benefit from their collaboration (as mentioned in the document)
 Renault-Nissan is an auto-making alliance of the two companies that work as partners, and they have separate brands and identities 
There are similarities as the engines are commonly used by cars from both companies. There is reliance on the Alliance Common Process or Alliance Integrated Manufacturing System (AIMS) that is based on the production system of both companies. There is also Cross production across Renault and Nissan plants. 
 However, there are different in management cultures as Nissan is based in Japan and Renault is based in France, which means there is greater emphasis on trust in NissanBenefit from the collaboration
• Increased profitability and market capitalization
• Expansion of the portfolio of advanced technologies
• Manufacturing standardization
• Cross production
• Expansion of product line-ups
• Cross-cultural management
* Excerpts from Saxenian, A. 1996. Regional advantage: Culture and Competition in Silicon Valley and Route 128.
• Define organizational inertia either by quick research or through your understanding of the reading
• Why did HP/Intel organize their businesses into small product divisions? Why not organize the company in some other way?
• Describe how HP and Intel helped to promote informal communication through:
• Management styles and
• The physical environment/layout of their offices
• Why is communication important for innovation? You can answer from the reading or any other source. Feel free to give you own thoughts.
Organizational inertia means rigidity in actions and is associated with resistance to change where the organization performance is tied to its past. This may have a negative effect on long-term success if the organization fails to innovate and adapt. Saxenian points out that HP/Intel preferred small product divisions that awed the sustaining to be flexible and responsive to emerging business needs. The small semi-autonomous business units took full responsibilities such as product development, marketing, engineering and manufacturing, where there are fewer bureaucratic structures. The decentralized organizational structures were associated less with hierarchy and status than before.
HP and Intel managers promoted a management style that was focused on individual motivation, professional autonomy, and improved employee benefits, as well as work environments where there was teamwork, participation and openness.The physical environment/layout of the offices moved away from emphasis on status differences and an individual's position, which made it easier to interact and share ideas. These physical environments were less formal and there was more open communication.
Open communication is important to share ideas in an environment where there is flexibility and versatility, and it is easier to collaborations w with different stakeholders .This is most possible in a decentralized industrial structure, where there is sharing...
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