XYZ Enterprises Has Just Downsized, Eliminating the Middle-Management Positions into Which

question 34

Short Answer

XYZ Enterprises has just downsized, eliminating the middle-management positions into which many entry-level managers had hoped to be promoted. How might this affect XYZ Enterprises?
Employees at XYZ will likely see fewer inducements.
The psychological contract will likely be easier to manage now.
The person‒job fit is likely to be more on target now.
XYZ will likely see more contributions from employees.
There will be little change.

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Definitions:

Undervalued

An economic condition where the market price of an asset falls short of its intrinsic or real value as evaluated by investors.

Overvalued

A descriptor for an asset or stock whose price is believed to be higher than its intrinsic value.

Trademark

A distinguishable symbol, pattern, or phrase that serves to differentiate the goods or services of one origin from those of another.

Par Value

The face value of a bond or stock as stated on the certificate or instrument.