A Finance Manager Observes That the Return-On-Investment (ROI) for His

question 10

Multiple Choice

A finance manager observes that the return-on-investment (ROI) for his organization is only 10 percent compared to the industry average of 20 percent. The manager informs top managers about her observation. According to this information, this organization is in which stage of the action research process?

• A) diagnosing the organization
• B) determining the desired future action
• C) eliminating obstacles to change
• D) selecting a strategy for change

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Definitions:

Human-Capital Theory

The concept suggesting that investing in education and training improves the productivity and efficiency of individuals, making them more valuable to employers and increasing their potential income.

Signaling View

A perspective in economics that suggests an action taken by a party can reveal or signal information about that party to other parties, often seen in contexts such as education and employment markets.

Superstar

A superstar is a highly prominent or exceptionally talented person, especially in entertainment or sports, who commands a significant degree of public fascination and influence.

Simultaneously Provided Services

Services that are provided simultaneously are those that occur or are delivered at the same time to consumers.