Companies with change-resistant cultures
A)are typically opposed to performance-based incentive compensation and employee empowerment.
B)are prone to be preoccupied with avoiding risks,are unlikely to pursue bold actions to capture emerging opportunities,have a widespread aversion to continuous improvement in performing value chain activities,and prefer following rather than leading market change.
C)are often overly gung ho about looking outside the company for best practices,new managerial approaches,and innovative ideas.
D)tend to be preoccupied with making sure the company has a safe,follow-the-industry-leader type of strategic vision and to avoid risky business strategies.
E)are typically run by amoral managers who have little regard for high ethical standards.

Question

Quizplus · Accepted Answer

The characteristics described in option B reflect a change-resistant culture, where the company is risk-averse, avoids bold actions, has an aversion to continuous improvement, and prefers to follow rather than lead market changes. Companies with such cultures are resistant to change and are unlikely to adopt performance-based incentive compensation and employee empowerment. Option A is incorrect. Option C describes a culture that is open to change and seeks to improve by looking outside the company for best practices, new managerial approaches, and innovative ideas. Option D is partially correct but doesn't capture the full extent of a change-resistant culture. Option E is unrelated to the characteristics of a change-resistant culture.

Companies with Change-Resistant Cultures