LHR 427 Exam 2 2025

All of the following are attributes of high performance work systems, except: - -limited information shared regarding the performance of the firm Mary owns a small family business and she has a contract with john, a local lawyer who practices family business law. In the area there are not a lot of lawyers practicing family business (high uniqueness). Mary was thinking to hire john permanently, but she feels that the business at this stage does not need an employee who will deal solely with legal issues (low value). According to the human capital architecture, john can be considered as _____ for this family business. - -complimentary/ alliance partners When a firm adopts a control hr strategy, which practice is less likely to be part of the firm's hr system? - -high levels of employee participation Control hr strategy - -combination of hr practices, work structures, and processes that minimize employee knowledge and skill requirements, and seek to limit the variability of performance across people. Basic characteristics: Narrowly defined jobs Low skill requirements Intense supervision/control Limited training Low wages Low benefits Commitment hr. strategy - -focus on developing a workforce that identifies with the firm and is committed to the firm. Basic characteristics: Broadly defined jobs High levels of employee participation Highly skilled employees Extensive training High wages High benefits The federal trade commission is an example of a (n): - -administrative agency Administrative agencies - -federal or state institutions and other government organizations with delegated power to pass rules and regulations within their mandated area of authority LHR 427 LHR 427 Equal employment opportunity commission - -enforcement of equal employment opportunity laws Securities and exchange commission - -protecting investors, maintaining fair and orderly functioning of the securities markets, and facilitating capital formation Federal trade commission - -enforces laws and guidelines regarding unfair business practices and acts to stop false and deceptive advertising and labeling When McDonald’s lost a lawsuit to a person severely burned by hot coffee, mcdonald's was found to be guilty of: - -negligence Tort law - -a wrongful act that causes injury to another person's body, property, or reputation Intentional tort - -willful act that results in injury Negligence - -behavior that creates unintentional harm or injury Product liability - -holds businesses liable for harm that results from the production, design, or inadequate warnings of products they market. Strict product liability - -legal responsibility for harm or injury caused by a product regardless of fault Which of the following statement regarding copyright is true? - -it protects a creator's rights to materials such as books, paintings, and cartoons. Patent - -gives investors exclusive rights to their innovations for 20 years Copyright - -protects a creator's rights to materials such as books, articles, photos, and cartoons -copyright law is becoming more and more important with the increase in publication using various media -copyrighted material is often referred to as intellectual property Trademark - -a legally protected name, symbol, or design that identifies the goods or services of a seller A microchip company wants a computer company to produce more powerful tablets and therefore use more of its chips. That same computer company wants the microchip maker to create chips with faster processing power. What approach could these companies take so that both can serve their stockholders well? - -the two companies should enter a strategic alliance to bring about a win-win situation for them and to limit their rivals' power LHR 427 LHR 427 Strategic alliance - -a voluntary arrangement between firms Involves the sharing of: knowledge, resources, and capabilities To develop: processes, products, and services Why do firms enter strategic alliances? - - -strengthen competitive position -enter new markets -hedge against uncertainty -access critical complementary assets -learn new capabilities Why do incumbent pharmaceutical firms enter into hundreds of strategic alliances with biotech start-ups? - -to pursue a real options perspective and hedge against uncertainty When does a merger between companies typically occur? - -when two firms of comparable size join to form a combined entity Merger - -the joining of two independent companies Forms a combined entity Often referred to as mergers of equals The companies involved typically are similar in size and influence The palace hotel group purchased orange roof hotels for an estimated value of $120 billion. All the hotels previously owned by orange roof hotels are now managed by the palace hotel group and are known as palace ho