A sign company creates and prints the full-sized vinyl sheets that make it quick and easy to change the promotion on a billboard. The company would still need to buy the same amount to meet its customers’ needs even if a recent change in the price of petroleum (a necessary ingredient for the production of plastic) forced manufacturers of vinyl sheets they use to increase the vinyl price by 20 percent. Therefore, the demand for vinyl sheets by companies that use this product to create billboard signs .

The company is experiencing an increase in competition, and at the same time they are building more production facilities in southeast asia. in this scenario, the top management team is most likely to multiple choice increase the cost of their products. restructure to reflect a more bureaucratic, stable organization. pull decision-making responsibility from low-level management, taking it on themselves. give lower-level managers the authority to make decisions to benefit the firm. rid themselves of all buffering product.