Which of the following statements is true?
A)A good cost management system is a key consideration in determining an organization's mission.
B)The organization's mission is a critical success factor in assessing how to react to competition.
C)Knowledge of an organization's critical success factors help to clarify organizational mission and develop a cost management system.
D)An organization must establish a position of cost leadership to compete in a global business environment.

Question

Quizplus · Accepted Answer

Knowledge of an organization's critical success factors can help in determining and clarifying the organizational mission, and developing a cost management system that aligns with the mission. Option A is incorrect as while cost management is an important consideration, it does not determine the organization's mission. Option B is incorrect as the organization's mission guides its competitive strategies, not the other way around. Option D is incorrect as while cost leadership may be one way to compete, there are other strategies such as differentiation or focus that can also be effective.

Which of the Following Statements Is True