Lesson 2: Key Positions in Corporate Organization

Question 1

corporate organization structure

Answer 1

shareholders → (elects) → board of directors → (appoints) → president or CEO → vice president for marketing/finance/administration/production

Question 2

who are the owners in the corporate organization structure

Answer 2

shareholders and board of directors

Question 3

who are the managers in the corporate organization structure

Answer 3

president/CEO and vice president for marketing/finance/production/administration

Question 4

any person, company, or institution that owns
shares in a company’s stock,

Answer 4

shareholders

Question 5

a company shareholder can

Answer 5

hold as little as one share

Question 6

shareholders are subject to

Answer 6

capital gains/losses and/or dividend payments

Question 7

residual claimants on a firm’s profits.

Answer 7

dividend payments

Question 8

The overall objective of a shareholder

Answer 8

wealth maximization

Question 9

the governing body of a company,

Answer 9

board of directors

Question 10

who elects the board of directors

Answer 10

the shareholders (in the case of public companies)

Question 11

what do the board of directors do

Answer 11

set strategy and oversee management

Question 12

the board (of directors) typically

Answer 12

meet at regular intervals

Question 13

the highest-ranking executive and head
decision-maker in a company.

Answer 13

president or CEO

Question 14

CEO stands for

Answer 14

chief executive officer

Question 15

the president is a

Answer 15

top-level executive

Question 16

the president or CEO is known as the

Answer 16

highest-ranking executive and head decision-maker of the company

Question 17

a marketing expert who takes responsibility for
overall marketing results of a company.

Answer 17

vice president for marketing

Question 18

the vp of marketing oversees

Answer 18

marketing strategies and efforts in order to strengthen the company’s market position and achieve desired business goals

Question 19

Oversees and coordinates the different
departments and creates and distributes all
goods produced by the firm.

Answer 19

vice president for production

Question 20

the vp of production should make sure that

Answer 20

the business implements the most efficient and cost-effective strategies for manufacturing

Question 21

in charge of overseeing the administration division
of a company.

Answer 21

vice president for administration

Question 22

the vp for administration is in charge of

Answer 22

mentoring staff, overseeing projects, and preparing monetary budgets for the division