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TIM - Quiz 9

Luis Vering 18 questions

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Questions in this quiz (18)

  1. 1What is not true about Schumpeters assumptions?
    1. ACreative entrepreneurs implement innovations because they expect
      monopoly profits from doing so. “Side-effect”: creative destruction
    2. BPhases: strong growth, imitation and deceleration of growth, depression
    3. CObstacles an entrepreneur is faced with:
      – Lack of experience and information about the innovation
      – Habitual, routine ways of thinking
      – Counter pressure from the social environment
    4. DDilemma of innovation:
      – Innovation is a precondition for economic growth
      – Innovation destroys existing structures and positions (→ losers from
      innovation)
    5. EPhases: weak growth, imitation and strong growth, depression
  2. 2We find vast individual-level differences in support for open source
    – Employees with job roles facing the most change show less support
    – Employees without personal experience or training show less support
    1. ATrue
    2. BFalse
  3. 3Forms of resistance against innovation
    Rational-technological arguments
    1. A– Doubts about operability: “Does it work?”
      – Objections against the timing of the innovation:
      “Now is not a good time!”
      – Objections because of missing/limited fit:
      “It does not fit to our processes / products!”
    2. B– Objections against destruction of valuable assets/competences:
      “Existing capital goods will become obsolete!”
      – Objections against risk: “The risk is too high!”
      – Doubt about the necessity of the innovation (reversed burden of proof):
      “Who on earth needs this? Necessity must be proved!”
  4. 4Forms of resistance against innovation
    Rational-economic arguments
    1. A– Doubts about operability: “Does it work?”
      – Objections against the timing of the innovation:
      “Now is not a good time!”
      – Objections because of missing/limited fit:
      “It does not fit to our processes / products!”
    2. B– Objections against destruction of valuable assets/competences:
      “Existing capital goods will become obsolete!”
      – Objections against risk: “The risk is too high!”
      – Doubt about the necessity of the innovation (reversed burden of proof):
      “Who on earth needs this? Necessity must be proved!”
  5. 5Barriers or causes of resistance
    Barriers of “not-knowing” / due to lack of knowledge
    1. A– Innovation may require intensive learning and intellectual deliberation /
      adaptation
      – This leads to resistance when individuals are (or feel) incapable of coping
      with the innovation
      – Individual effects can be amplified in groups (e.g. departments)
    2. B– Constitutional or learned mechanisms of regulation/governance
      – Reasons related to power (re-)distribution, high risk aversion
      – “Group Think“, ideological world-views, conservative attitude
      – Objective reasons, innovation creates winners and losers
  6. 6Barriers or causes of resistance
    Barriers of “not-wanting“ / due to lack of willingness
    1. A– Innovation may require intensive learning and intellectual deliberation /
      adaptation
      – This leads to resistance when individuals are (or feel) incapable of coping
      with the innovation
      – Individual effects can be amplified in groups (e.g. departments)
    2. B– Constitutional or learned mechanisms of regulation/governance
      – Reasons related to power (re-)distribution, high risk aversion
      – “Group Think“, ideological world-views, conservative attitude
      – Objective reasons, innovation creates winners and losers
  7. 7Barriers or causes of resistance
    administration
    1. A– Responsibility: nobody is or feels responsible / competent
      – “Rejection” by way of passing the innovation up in the hierarchy
      – Problems of coordination from ineffective assumption or allocation of
      competencies
      – Filtering effect when innovation criticizes the existing organization
    2. B– Accounting does not treat innovations as intangible investments/assets,
      but as expenses
      – However, according to IAS: Of “R&D”, “D” can (and must) be
      amortized (“aktiviert”), “R” must not
      – Profit & loss accounting oriented towards the short term reduces
      incentives for innovation (e.g. discounting of future revenues)
  8. 8Barriers or causes of resistance
    accounting
    1. A– Responsibility: nobody is or feels responsible / competent
      – “Rejection” by way of passing the innovation up in the hierarchy
      – Problems of coordination from ineffective assumption or allocation of
      competencies
      – Filtering effect when innovation criticizes the existing organization
    2. B– Accounting does not treat innovations as intangible investments/assets,
      but as expenses
      – However, according to IAS: Of “R&D”, “D” can (and must) be
      amortized (“aktiviert”), “R” must not
      – Profit & loss accounting oriented towards the short term reduces
      incentives for innovation (e.g. discounting of future revenues)
  9. 9Different intensity levels of resistanceImage for question 9
    1. ALack of Resistance
    2. BDistrust
    3. CNon-participation
    4. DHostility
    5. ESabotage
  10. 10Promotor Model: Main result: strong forces existed against the
    introduction of computers (obstacles and
    resistance to innovation) but also in favor of it
    (impersonated by so-called promotors)
    1. ATrue
    2. BFalse

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Quiz on TIM - Quiz 9, created by Luis Vering on 25/07/2021.
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Deutsch
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