A solution to the budget-gaming problem is a. Introduce ...

[roselinechinyere27m]

A solution to the budget-gaming problem is
 a. Introduce milestones or kinks in the compensation scheme
 b. Use a target based pay function with each target scoring greater return
  c. Do not base compensation on meeting a particular budget goal
 d. All of the above

Question 2

Cost-reduction generate
 a. Increases in long-run profitability
  b. Increases in long-run profitability only if the cost reduction is difficult to imitate
  c. Increases in product differentiation
  d. Reduction in competitive intensity

[gcook]

Answer to Question 1

c

Answer to Question 2

b

[roselinechinyere27m]

Thanks for the timely response, appreciate it

[kjohnson]

Great answer, keep it coming