A Recent Study by Bain Shows Examined Decision-Making Effectiveness and Team

question 84

Multiple Choice

A recent study by Bain shows examined decision-making effectiveness and team size. Which of the following summarizes their conclusions?

• A) Decision-making effectiveness is reduced in teams with more than seven people.
• B) Decision-making effectiveness is increased in teams with more than seven people.
• C) Decision-making effectiveness is reduced in teams with less than three people.
• D) Decision-making effectiveness is increased in teams with less than three people.

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Definitions:

Market Price

The ongoing value for buying or selling a product or service in the free market.

Shut Down

A short-term decision by a firm to cease production when marginal revenue does not cover variable costs, differing from going out of business, which is a long-term decision.

Total Revenues

The entire sum of money earned from selling goods or services prior to deducting any costs.

Fixed Costs

Expenses that do not change in relation to the level of goods or services produced by a business, such as rent, salaries, and loan payments.