a spinoff. An ESOP plan allows e through trusts established on the tions collaborate on a project for QUESTIONS AND EXERCISES QUESTIONS FOR ANALYSIS 1. Why is it important for managers to understand the environment in which their businesses operate? 2. It has been argued that inflation is both good and bad. Explain. Are government efforts to control inflation well advised? Explain. 3. What are the benefits and risks of outsourcing? What, if anything. should be done about the problem of Canadian companies out- sourcing jobs to foreign countries? Defend your answer. 5 APPLICATION EXERCISES 7. Select two busines as you are familiar with Identify the maior ele