What is the Environmental School of Strategy? The environmental school of strategy views the environment as the main factor influencing the strategy process. It sets the direction for an otherwise passive organization. Strategic choice is limited by the environment.  The environment of an organization can vary on its degree of stability, complexity,...

Options for Compensating Employees Operational Revenue  The first option for compensating an employee is to use operational funds. Of course, this becomes a problem when the company does not produce adequate revenue to pay the employee. Also, startup companies generally try to refrain from allocating revenue to operational expenses. Rather, they pre...

What is Market Orientation?  Market Orientation is a focus by a business on the latent needs and wants of customers when developing and offering a value proposition.  Market orientation can best be understood as a strategy that guides the product development and value delivery process. Market Orientation vs Customer-Based Orientation? Customer-focus...

What is Corporate Defense Management (CDM)? Corporate defense refers to a collection of programs, measures, and strategies that a company uses for its self-defense. This includes how a company is governed and how its operations are aligned to serve as its justification for defense in times of danger.  Corporate Defense Management (CDM) is a framewor...

What is a state Long-arm Statute? A state's long-arm statute allows service of process on defendants who are physically located outside of the state. What are the Limits on a State's  Long-arm Statute?  A state's long-arm statute must comply with the 14th Amendments Due Process protections. Relevant Law : the Eighth Circuit that when a state's "long...

How to Secure Intellectual Property with Employees and Independent Contractors? Startups must generally consider the process for contribution of IP to the startup and the protection of IP created by employees or within the business. Each of these procedural steps are discussed below. Employee and Contractor Matters What is an At-Will Employment Offe...

How do Managers Develop or Formulate a Business Strategy? The preeminent scholar in this regard is Henry Mintzberg. In 1998, Mintzberg proposed that the practice of strategic management observes three main perspectives (or ―streams). Within these streams there are a total of ten different schools of thought concerning how strategist perceive the cre...

What does Prima Facie Mean? Prima facie is a term used to describe the nature of something at first observation. It is a legal claim which proves that there is sufficient evidence for the prosecution to take place." In other words, prima facie refers to particular evidence, whereby if held to be sufficient, it can be used to prove a case. Prima faci...

What worker privacy laws apply to the workplace? Two primary federal acts provide for rights of privacy of employees with regard to their personal communications - the Electronic Communication Privacy Act (ECPA) and the Employee Polygraph Protection Act. What is the Electronic Communication Privacy Act (ECPA)? The ECPA prohibits the recording or mon...

How do I Divide up Shares with my Co-Founders? When forming a new company, the founders must make the early decision of how to split up the ownership of the company. This can be a tense and sensitive subject, as each founder has some idea of their respective worth and contribution to the company. The split of equity must be a group decision, so it c...